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Technology Stocks : Wind River going up, up, up! -- Ignore unavailable to you. Want to Upgrade?

To: James Connolly who wrote (6937)	12/6/1999 6:41:00 PM
From: Peter Church	Respond to of 10309

from NYT Regarding WIND and Mars Missions: nytimes.com

To: James Connolly who wrote (6937)	12/6/1999 8:09:00 PM
From: peter grossman	Respond to of 10309

H&Q is really pushing WIND. The INTS earnings estimates I've seen are .19 and .16, with a whisper number of .13. I prefer the lowered expectations. More importantly, they are promoting the idea of valuing WIND on a multiple of revenues rather than earnings. H&Q reasoned a price target of 60 based on about 13x forward revenues of $205m for WIND only. WIND is currently selling at 9.8 x trailing earnings, but INTS is at only about 5x. When they combine, 13x combined forward revenues (assuming equal growth) is $ 78/share. Maybe they will raise their target without raising their assumptions. The quote I liked best was about 20 +/- more Lucent type partnerships.