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Technology Stocks : MRV Communications (MRVC) opinions? -- Ignore unavailable to you. Want to Upgrade?

To: Greg h2o who wrote (22645)	8/1/2000 11:41:27 AM
From: Sector Investor	Respond to of 42804

A Yahoo! MRVC (and KVHI) poster has followed up on my links on Dr. Spivey with more information. messages.yahoo.com

To: Greg h2o who wrote (22645)	8/1/2000 11:43:02 AM
From: NDBFREE	Read Replies (2) \| Respond to of 42804

I have sent an E-mail to Diana (1) sending her a copy of the Jabak article and (2) suggesting MRVC contact him to correct him regarding the optical percentage of business. Can only hope that while MRVC does not take the offensive as much as I would like (with news releases, etc) that they will contact Jabak and try to correct his info.

To: Greg h2o who wrote (22645)	8/1/2000 12:23:08 PM
From: Robert G. Harrell	Read Replies (1) \| Respond to of 42804

Greg, I found the following article to be great food for thought as we play the what if game in valuing MRVC. redherring.com Excerpts: It leaves me wondering whether IPO really stands for irrational purchase order, or maybe insane price opening. Riddle me this,Bat-investors: Why is it that all of these fiber-optics stocks have market valuations well in excess of $1 billion, when not even one of them has annual sales over $100 million, much less any earnings to speak of? Will these fiber-optics IPOs still look like huge successes after several months? I'm skeptical. The one constant in this ever-changing market is that investors find new fads. In just the last two years, tech investors have gone gaga over Web communities, online content, e-commerce, business-to-business(B2B) software, and Linux stocks, just to name a few. Let's take a walk down IPO memory lane, shall we? <snip> Akamai (Nasdaq: AKAM) and CacheFlow (Nasdaq: CFLO) both debuted last fall with more than 400 percent premiums to their offering prices. At their peaks, Akamai had a market cap of about $36 billion, and CacheFlow was valued as high as $6.5 billion. But both stocks have taken a big tumble since then, for very good reasons. They, like many of the fiber-optics companies, have a small customer base, scant revenue, and no earnings ... but a ton of promise. Still, you have to wonder how it's possible to justify multibillion-dollar market caps right now, when sales are currently so infinitesimal. Could companies like Corvis and Avici (or, for that matter, Akamai and CacheFlow) ultimately grow into companies that deserve to be worth as much as investors were willing to pay for them on their first day of trading? Possibly. But that's all the more reason to stay away from the IPO at the onset. <snip> I wonder what valuation we would come up with for MRVC post a few IPO's if the optical sector experienced the valuation compression that some other sectors have experienced in recent months? Would we still consider it a bargain at $56? This is not a bear argument, as I'm long 15,000 shares and have lots of money off the table since stopping out of about 15 stocks in the last two weeks. I'm wondering whether I should buy more or am I set up for another fall like we saw in Mar-April? I'd be interested in other's thoughts on this. I realize that the parallels are not perfect since Luminent has real customers and real earnings unlike some of the stocks that have fallen so far. The chip stocks might make a good model for comparison as they have suddenly fallen from favor even though they have a great future. Bob PS. Grant's team won the tournament among the top level teams and he was chosen to play in the all star game. He was the only first time camper chosen. All the others could probably have been chosen before camp ever started as they came from big name programs and/or were alumni or multiple 5 Star sessions. The Penn coach locked in on him at the camp, so I think we can reasonably expect a choice between Harvard, Princeton, Penn and William and Mary among the highly rated schools academically. Perhaps after the all-star list makes the rounds we will hear from some of the other schools on our list. I met another HoopsDad there (with his bright 6'-10" sixteen year old--yikes!) who has been day trading full time since 1986 and knew many hot tech stocks but had never heard of MRVC!!!