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Technology Stocks : Ciena (CIEN) -- Ignore unavailable to you. Want to Upgrade?

To: jeremic who wrote (8885)	5/16/2000 7:33:00 PM
From: jghutchison	Read Replies (2) \| Respond to of 12623

Jeremic, Nortel's annual revenue run rate is around $28 billion. The greatest portion of this amount comes from legacy equipment, which will be cannibalized by cutting-edge optical networking equipment, some of this offered by Nortel. Nortel has been successful in their DWDM offerings in targeting the old establishment players. However, Qtera has had limited sales to date, and XROS is a standing industry joke and currently has no marketable products. (A quote, which I believe was attributed to the CEO of Tellium was, "XROS has a single product - a big dumb switch." Or something to that effect.) Superimposed on all this is the fact that Wall Street will always value a pure play (cien, scrm, jnpr, jdsu, sdli) over a diversified company (nt, lu, ericy, etc). I think that it is a given that the best investments have the highest earnings growth rates. If you agree with this premise, then consider the following: What are the chances that Nortel's stock will appreciate 10 fold within two to three years? Now, ask the same question of Ciena, Juniper Networks etc. Jack Hutchison