Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: Doug Robinson who wrote (91643)	4/5/2000 8:40:00 AM
From: kendall harmon	Respond to of 120523

BVEW comments, looking for a bounce today <<"It's the earnings warning coupled with some of the business-transition issues facing the company" that led to the nearly 66% drop in its share price, said [Donaldson Lufkin & Jenrette Securities Corp. analyst Joseph J.] Farley. Farley explained that BindView acquired Entevo Corp. this year and was not able to integrate its bigger-ticket price products, which are aimed at a different customer base, as well as expected. He called this simply "a growing-pain issue for the company." BindView said the lower than expected earnings are due to soft international sales during the quarter, which made it difficult to meet internal growth targets. International sales contributed about 11% to first-quarter revenue, down from about 17% during full-year 1999. Donaldson Lufkin & Jenrette's Farley did say BindView's acquisition of Entevo made strategic sense. For BindView to secure long-term growth, it needed to enhance its product lines and "move further up the food chain," he said. BindView's core software products - security products sold to network administrators - were "not likely to take them to the next level" because customer budgets for these items make scoring big contracts difficult. "Though it looks very bad today, the long term and the medium term remain bright" as the company makes its way through this year's transition, said Farley. "I don't think BindView is as bad a company as the stock price currently suggests." Farley is maintaining a buy rating on the stock, though both Deutsche Bank and Merrill Lynch & Co. downgraded BindView Monday. >>