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Technology Stocks : Computer Network Technology (CMNT) -- Ignore unavailable to you. Want to Upgrade?

To: cmac who wrote (663)	10/2/1999 5:00:00 PM
From: cmac	Respond to of 750

Barron's article excerpt below... Barron's Oct. 4, 1999: Interview with Robert Olstein: "This year Financial Alert is up a market-stomping 19%, thanks once again to Bob's keen eye for corporate value, and his equally keen nose for bookkeeping nonsense. This powerful combo has led him to a broker, a boat operator and a bombed-out HMO, among other alluring issues. At the same time, Bob's quick to prick market myths and rile some of Wall Street's sacred cows. Pom-pom boys, read at your peril. Q: How can you possibly determine, at this early stage, what is "appropriate" in the context of the Internet? A: We have a dual approach. We're minimally short but net long. We own a group of companies that are involved in building out the technology of the 'Net. Computer Network Technology makes hardware and software that facilitates the long-distance connection of storage devices. Quantum DLT & Storage Systems specializes in tape-drive storage. Methode Electronics is in fiber optics and storage area networks, and RadiSys makes embedded chips. All four produce mundane products. All have no debt and excess cash flow. And all have experienced earningsrelated disappointments, which has allowed us to pick them up at great values. Q: Tell us more. A: Methode could earn $1.15 a share in the year that ends April 2000, and $1.40 the following year. The stock sells around 18 1/2 . Quantum DLT, the tracking stock that represents the tape and storage systems business of Quantum Corp., could earn around $1.40 in the year ending March 2000, and up to $1.70 in 2001. The stock sells for 14, down from a high of 22 1/4 . We expect Computer Network Technology to earn 40 cents this year and 70-plus cents in 2000. At $9 and change, the stock's down from a 52-week high of 30 5/8 . And RadiSys could earn more than $1.45 this year and $2 in 2000. The Internet is real and revolutionary, and these companies are constructing its underpinnings. Ecommerce, e-mail and richer multimedia contents have created enormous amounts of data which require cost-effective, highperformance storage and routing solutions. On the other hand, there is nothing proprietary about most consumer e-commerce concerns."