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Technology Stocks : International FiberCom, Inc. (NASDAQ- IFCI) -- Ignore unavailable to you. Want to Upgrade?

To: Charly who wrote (3051)	10/1/1999 4:52:00 PM
From: david james	Read Replies (1) \| Respond to of 3541

Well, the third quarter is now over. And the CEO has been roughed up along with the shareholders. Now what? In about a month we will get the institutional holdings for the third quarter, and it will be interesting to see whether overall they decreased their holdings in line with the price, or used the dip to buy cheap shares. I am not actually sure which way this will go. But if its the latter, then we might well see a decent recovery from here. However, so far, I don't see any long term effects of this on earnings. Although maybe, just maybe, the CEO has learned some of the reasons its worth being conservative when guiding analysts towards earnings. So I am hoping that even if Kealy sees clearly that 20 cents/quarter is possible in year 2000, I certainly hope he never suggests that they will make more than 15 cents. And anyway, with 30 cents or so now expected this year, 60 cents would look like great growth by this time next year. Maybe 'Chip' can be paid a bit extra to slap Kealy around whenever he starts to get a bit too excited. It is strange that even with the reduced earnings of 30 cents, the company would be doing better in P/E than most every other company in the industry. Just shows the importance of guiding expectations. It would be interesting to know when this "cost overrun" occurred. It makes it sound as though something went quite wrong with one of their (non-core) installations, and Kealy decided to just settle and pay rather than attract a lawsuit. But that is clearly a wild guess (however, Snake gets 2 points for guessing that they would find a way to mess up the quarter).