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.

Technology Stocks : Harmonic Lightwaves (HLIT) -- Ignore unavailable to you. Want to Upgrade?

To: MikeM54321 who wrote (3606)	6/23/2000 7:02:00 PM
From: Mao II	Read Replies (1) \| Respond to of 4134

Mike: Is DiviCom simply a wall of worry, or is it a real issue, in your opinion? I mean is there razor wire stretched across the top there??? M2

To: MikeM54321 who wrote (3606)	6/28/2000 7:31:00 AM
From: MikeM54321	Read Replies (1) \| Respond to of 4134

Nevin S.- As we were discussing on AFCI thread, here's a blurb out of CNET that IMVHO, is on target(except for the figures?). _____________ On May 3, Harmonic closed a deal to acquire DiviCom, the digital video equipment division of C-Cube Microsystems, a transaction then valued at $1.7 billion. Soon afterward, the stock took a hit over concerns about the fiscal health of the newly acquired division. The stock has fallen 68 percent this month. "Their DiviCom business was completely in the toilet this quarter," said UBS Warburg analyst Anton Wahlman, who previously expected the company to post $108 million in revenue and earn 31 cents per share. On a pro forma basis, Wahlman said DiviCom earned $39.4 million in the first quarter, and he expects the unit to make $14 million this quarter. "They overpaid for the DiviCom business and guided people too high on their revenue expectations," Wahlman said. "Maybe previous (DiviCom) management sold them on these (expectations), maybe Harmonic did not do their due diligence, maybe it was a combination of many factors. I don't know." _____________ IMHO, it's not HLIT that causes me a great deal of concern, but it's still Divicom. I'm not quite sure where the reporter got his figures, but the gist of his comments are on target. I think there must be some communication problem between the reporter and analyst on the numbers. -MikeM(From Florida)