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Technology Stocks : PERL (Perle Systems) -networking products for eBusiness -- Ignore unavailable to you. Want to Upgrade?

To: Y-fall who wrote (12)	12/8/1999 6:26:00 PM
From: Americo Burgos III	Read Replies (1) \| Respond to of 176

PERL NEWS dailynews.yahoo.com Wednesday December 8 6:15 PM ET Two Canadian Stocks Catch Fire From Linux Fever By Susan Taylor OTTAWA (Reuters) - An overflow of pent-up demand for Linux-related stocks in the United States touched off frenzied buying of at least two Canadian technology stocks on Wednesday. Ottawa-based software developer Corel Corp. (Toronto:COR.TO - news) (NasdaqNM:CORL - news) and tiny Toronto-area hardware developer Perle Systems Ltd. (Toronto:PL.TO - news) (NasdaqSC:PERL - news) set records and dominated market activity. ``We left insane three counties ago,' said Duncan Stewart, fund manager at Tera Capital Corp. in Toronto. ``This is goofball territory.' The red-hot Linux sector shows no signs of cooling as the market flocks to an operating system technology that is seen as a competitor to Microsoft Corp.'s (NasdaqNM:MSFT - news) Windows NT. On the technology-heavy Nasdaq exchange, Corel was the most active trade with nearly 37 million shares exchanged and Perle took sixth spot with nearly 22 million shares traded. Corel shares hit a record intraday high of C$45.95 (US$31.07) before edging back to C$41.75, a gain of C$8.15. That's up 79 percent, or C$18.40, from the close one week ago of C$23.35. On Nasdaq, Corel raced up to 31-1/8 before slipping to 28-5/16, a gain of 5-10/16. Perle also set records, charging up to trade at C$30 on the TSE before retreating to C$20, a gain of C$12.95 or 183.7 percent. On Nasdaq, the issue hit 20-3/8 before slipping to 13-11/16, a one-day increase of 8-29/32. The rush for Corel stock is being tied to the firm's recent launch of its Linux system for desktop computers and its planned release of Linux-versions of its key software products early next year. Analysts are puzzled by the market's attraction to Perle, which makes data communications equipment. The company said on Tuesday it would deliver the final set of free Linux drivers for its hardware line by year's end, but the firm is not involved in the Linux sector, analysts say. ``I think people misinterpreted the press release,' said Paul Bradley, analyst at Canaccord Capital Corp. in Toronto. 'That might be a bit of Linux madness.' Corel, meantime, gained ground on increasing signs the corporate world is rushing on to the Linux bandwagon. Increasing use of the technology expands the market for Linux-versions of Corel software that are now being developed. ``(Corel Chief Executive Michael) Cowpland has found the slingshot that he's looking for,' said Gerald Vincent, vice-president of Davis-Rea Investment Counsel. ``Corel is one of the best-positioned companies in the Linux universe.' Corel is also getting a boost from news on Tuesday that Dell Computer Corp. (NasdaqNM:DELL - news), the world's No. 2 maker of personal computers, will install and support Red Hat Inc.'s (NasdaqNM:RHAT - news) Linux operating system on a new line of high-end servers. ``Tier one manufacturers are starting to pay attention to Linux,' said Corel spokeswoman Stefania Allevato. Analysts suggest the market frenzy could sustain as investors await trading in stock of initial public offering VA Linux Systems Inc. (NasdaqSC:LNUX - news), which upped the price of its shares to $21-$23 on Tuesday from $11-$13. Linux firm Andover.Net Inc. (NasdaqSC:ADND - news), which began trade on Wednesday, added 45-3/8 to close at 63-3/8. ``(VA Linux) is going public at $23 and if it starts trading at $90 or $100 or something like that, guess what kids? Corel's going to $60,' said Stewart. ($1-$1.48 Canadian)