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.

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

To: Judith Williams who wrote (33849)	10/26/2000 7:16:42 PM
From: mtnlady	Read Replies (1) \| Respond to of 54805

One thing that stands out to me in the difference between JDSU and NT and the sectors they both sell into. Nortel's sector is, by it's nature, "lumpy". In that sales tend to not be booked until equipment is installed. These installations are huge projects - in and of themselves money makers - but (!) the income from these projects comes in in lumps. So NT not only has to forecast sales of products but also installation of product. JDSU, on the other hand, basically just sells product. The installation of the product is done by the likes of NT, LU and ALA. Their demand, and revenue, is going to be smoother and easier to predict. Just a note for remembering. I remember last year when I had a large chunk of NT stock dropped into my lap via their buy out of Clarify (anybody remember them?). NT had the same issue last year with jolts and starts to their revenue line. I was used to a nice ramp up in revenue from my Clarify/SEBL holdings. No such luck with NT. But the folks that followed NT a year ago - all pretty much folks who worked in the industry as NT wasn't a big thing yet to investors explained how Nortel's revenue stream was "lumpy" and that I shouldn't worry about it. NT is 'main stream' now and I think NT is going to have to do a better job of educating the analysts/press/investors now on their business model is different than a Cisco or JDSU. I was educated by others on the NT thread. Other investors may not be so lucky. In short - NT will have to do an even better job with communication/education of the investing public than a JDSU will have to. We should watch and see if Roth learns from this. I think he will.

To: Judith Williams who wrote (33849)	10/26/2000 10:23:15 PM
From: 100cfm	Respond to of 54805

Thanks for that great recap Judith. It seems that the analysts were trying hard to dig out something negative especially re LU, don't they get it that LU is in the predicament because they lagged behind NT in optical and now have to accelaerate their efforts to catch up which only means more orders to JDSU.

To: Judith Williams who wrote (33849)	10/27/2000 12:09:58 AM
From: chaz	Respond to of 54805

Judith, thanks very much for the JDSU cc wrapup. I'm especially struck (positively) by the press to increase capacity. That sure puts the quash on hints of a slowdown. Chaz

To: Judith Williams who wrote (33849)	10/27/2000 9:34:41 AM
From: DownSouth	Respond to of 54805

Judith, thanks for the excellent recap on JDSU cc. It appears that JDSU is responding to the FUD aggressively. The timing of their earnings report could not be better.

To: Judith Williams who wrote (33849)	10/27/2000 10:28:22 AM
From: Apollo	Read Replies (1) \| Respond to of 54805

Judith: thanx for the CC report on JDSU. well done. <eom>