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Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: David E. Taylor who wrote (39584)	2/21/2000 4:16:00 PM
From: The Phoenix	Respond to of 45548

David, I think we see things similarly. I perhaps let Mehrdad's overzealousness bias me to the negative attributes too much. The blind faith in COMS at times is a little much to bear however I'm fine with that... but the comparison to one the best run companies around I find hard to swallow. And while I do agree we need the blind faith bulls, a problem arises from those that take his comments to heart more than they should. Not that there is anyone around that makes trades based upon what they read here... but as scary as it may seem - some do. So, in tempering Mehrdads weak claims to gradueur for COMS I perhaps stand a little too bearish. Not that I'm not mind you :) but one still has to play this IPO. Thanks for the input btw! and good investing to you. OG

To: David E. Taylor who wrote (39584)	2/21/2000 4:26:00 PM
From: Mehrdad Arya	Read Replies (2) \| Respond to of 45548

no way will I be induced again into the "renewed growth in new markets" story until I see concrete evidence in the quarterlies. Three questions: 1> Have the company's Operations become efficient? 2> Are their Emerging markets growing? I too will not be lured into the mantra of growth in the Emerging markets unless I can see a it manifested in the 10Q's, but I am also pragmatic enough to know that nascent markets take time before they reach levels of critical mass to have sufficient impact on a company's financial's. 3> Shouldn't 3Com's Mgmt. get any of the credit for the success in the Palm, especially knowing how many other companies had failed before in this area. BTW, you really take MA too seriously -- we need rampant bulls like Mehrdad to prop up COMS base price! Lets be fair, am I wrong in assuming that the company has approx. $5-$6 billion in liquid assets? Is it wrong to give the company a multiple of 2 times revenues; 2($5 billion) = $10 billion? Is my estimation of 6 + 10 = $16 billion or $47 a share, an unrealistic number. How in God's great name do you guys estimate companies. I do agree that growth is a determining factor but it is not the only factor that attributed to valuations. My last question, how did you assume 3Com sans Palm is worth only $20 a share? According to your estimates 3Com should only have a market cap of $6.8 billion.