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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: mtnlady who wrote (32524)	9/28/2000 1:51:27 PM
From: LindyBill	Read Replies (4) \| Respond to of 54805

Mike is right, but what, that we like, is not high? JDSU/SDLI valuation is breathtaking, also. The telecoms are taking a hit right now because of downgrades. These downgrades are based on a decreasing demand for their products. Roughly 3.5% less is projected. I wonder if, even if this is right, if the internal balance of the demand won't still be up for Optical and internet, and down for the old telephone switch equipment.

To: mtnlady who wrote (32524)	9/28/2000 3:40:16 PM
From: johndelvecchio	Read Replies (2) \| Respond to of 54805

I think SEBL's valuation will likely come down too, but long-term, there is plenty of value left to be created. It seems to me that stocks commonly run up after splits, which are meaningless. Time will catch up with price, eventually. However, SEBL does have avenues for growth that I feel are not recognized in the analyst forecasts. For example, the middle-market represents a huge potential market. In the most recent quarter, SEBL made quite a substantial move in this market. What's interesting is that (if I recall correctly) the average selling price went up during the quarter. So, dwelling in the lower markets did not hurt their business. I believe that while many companies may find the mid-market attractive b/c of its size, SEBL can do it profitably b/c the company is very well managed. According to Tom Siebel, they have 53% of this market. So, they have the leading mindshare and marketshare here. And, that only reinforces their leading position. Wireless is also not recognized in my opinion either. The Wall Street analysts are still behind the curve on the revenue estimates, pretty far behind. Finally, partnering with over 600 other companies create opportunities that people cannot even think of today. I'm just sitting tight. Best, John