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Technology Stocks : Westell WSTL -- Ignore unavailable to you. Want to Upgrade?

To: bill c. who wrote (20973)	10/20/2000 10:07:34 PM
From: Mark[ox5]	Read Replies (1) \| Respond to of 21342

My projection was for the NEXT quarter, quarter 3, not quarter 4 when they produce 60-70M in CPE business. And I disagree with your volume assessment as the only reason for these gross margins... they are terrible. EFNT was at $61M two quarters ago and had 20% margins. Why was WSTL at half that in their CPE line when they were at $62M? We can argue these points all nite. THis is the bottom line.. we dont know shit, because Westell doesnt share information like most companies. We dont know how much each of these "big 3" produced 2 quarters ago, 1 quarter ago, this quarter. We dont know why there was a miss this Q.. it still has not been explained, I've read at least 6 theories.. the company doesnt share an explanation... even captn smartjack on Yahoo doesnt know and he has a ton of contacts. How is the average WSTL guy ever supposed to do DD on this stock if ex insiders have such trouble getting information that is PERTINENT and MATERIAL. Also further every quarter the company does not scale the further it falls behind. It is in precarious cash position as it is. These are all negatives. Please, I am not saying NOT to buy WSTL.. its your money. Its "cheap" just like people were saying at $20, $19, $16, $14, $12, $10, $8, and now $6. Good its, cheap.. if you want a deep discount telecom play that is hard to research and doesnt disclose some basic information that makes it easier to compare ot others in the sector, this is your stock. Its not my stock. If you want an ADSL play, with a little DSLAM here, a little TAP there, and a little teleconforence division there... this is your stock.. I am looking for a much higher gross margin business with tremendous revenue growth, Im looking out a year and seeing who can translate their position into the next level of DSL. Nothing is guaranteed but I prefer the company that has executed quarter after quarter and I can do THOROUGH DD, without resorting to asking message board ex-insiders for information that any person should want to know. Good luck with it. I prefer stocks with less rain clouds if at all possible. I am pointing out the obvious - you do not know if its an inventory issue, you are theorizing.. just like I am theorizing. Neither of us know..neither of us will ever know; WSTL obviously had a chance to clear the air.. they didnt... The bottom line is a lot of people have been seriously hurt in this stock and seriously screwed by management decisions. No one who has bought in the past 12 months and held is now positive.. no one. Except MZ + management team. This stock, despite itself should haev some growth and some profits.. its definately not a leader as people were purpoting it to be a mere 3 days ago. "About to take over EFNT, #1 in ADSL" etc etc countless times. I will be watching it, I dont own it, nor will I. But i will definately watch and lets see how far off I am in 3 months. And I will watch for the wording and associated BS put into the press releases as reasoning for "gross margin improvement" and "EPS improvement" and all that jazz. Enjoy, Mark