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Technology Stocks : Broadcom (BRCM) -- Ignore unavailable to you. Want to Upgrade?

To: Tony A. Matthews who wrote (3474)	1/19/2000 11:36:00 AM
From: Murrey Walker	Read Replies (1) \| Respond to of 6531

Tony...the high percentage sustainability of any fast track company like BRCM is going, by design, to decrease in proportion to its growth. Case in point: a company like DELL. The mo mo crowd left last year because of slow growth perception. BRCM is, IMO, where DELL was in 1996, or earlier.

To: Tony A. Matthews who wrote (3474)	1/19/2000 11:57:00 AM
From: Andrew Danielson	Read Replies (1) \| Respond to of 6531

Tony Matthews, Re: Y2k factor It's certainly possible that Y2K has played some kind of role. I've never heard of any such guidance from press releases or analyst reports, however. I have no doubt that Broadcom as a company is in as strong a position as it has ever been. The markets that they serve will continue to grow. The slowdown of revenue growth is mostly a function of the fact that Broadcom is progressing further along its S-Curve. When a company gets to be as large as BRCM, and after its revenues have gotten as high as they have, Y-Y comparisons inevitably become tougher. It had $160 million in revenues this quarter, representing an increase of $85 million over the previous year. To maintain that growth rate this time next year, BRCM needs to add $185 million in revenue. At some point, such growth rates become virtually impossible to maintain. My philosophy is to catch companies at a certain point along their S-Curve (i.e., early). That's why I'm moving on, not because my fundamental opinion of the company's potential market, competitive position, or strength of products has changed. Andrew Danielson