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Technology Stocks : EMC How high can it go? -- Ignore unavailable to you. Want to Upgrade?

To: Tony Viola who wrote (7838)	10/20/1999 9:52:00 AM
From: Mr. Tomatohead	Respond to of 17183

Had to get in when it hit the 64's. My outlook on this one is very long term. Sounds like "noise" might be giving us a great buying opp.

To: Tony Viola who wrote (7838)	10/20/1999 10:09:00 AM
From: jad	Respond to of 17183

Tony, Agree too much hedging by EMC on the DG Q4 numbers. Ruettgers had better get his act together for today 's PowerLunch. He's sure to be asked to clarify this.

To: Tony Viola who wrote (7838)	10/20/1999 10:13:00 AM
From: GVTucker	Read Replies (2) \| Respond to of 17183

Tony, note that Reuttgers backed off his revenue growth guidance from last quarter, and stated that post the DGN acquisition, revenue growth would be lower than 35%. That wouldn't be so bad, but he also refused to tell us what the number would be. I think that is much more behind the sell off than the reported revenues, which were solid. Pure back-of-the-envelope guess: EMC revenues: $1,334mm. Let's say they grow at 35%. That puts 'old' EMC revenues at $1,800mm. DGN revenues: Last Q was $356mm. Let's say the current quarter reports the same. EMC stated that DGN revenues might decline next year, I'll guess 5%, which would put DGN revenues next year for the quarter at $338mm. Thus, total revenues on the quarter for 'new' EMC would be $1,690mm. Total revenues next year for the Sep quarter would be $2,138mm. That translates to 26.5% overall revenue growth. I bet that most analysts didn't model revenue growth that low for the overall compay. Although that would be pretty easy to guess before today (and indeed, I had guessed at similar numbers) perhaps people didn't want to believe it until Reuttgers pointed it out.