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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: kvkkc1 who wrote (49582)	3/5/2001 9:55:49 AM
From: RetiredNow	Read Replies (1) \| Respond to of 77399

Hi shorts, shove this article up your _ss: biz.yahoo.com. This is what Cisco does in down markets. They eat other companies' lunch. When the economy picks up, Cisco stock will soar to it's old heights. Oh and BTW, I declare the bear market will be over as of 5/1/2001. So enjoy your day, because it's coming to a close.

To: kvkkc1 who wrote (49582)	3/5/2001 1:09:41 PM
From: Stock Farmer	Respond to of 77399

hi k - he may, but UBS Warburg things differently. 12:13 EST (Adds detail throughout. All figures in U.S. dollars unless noted.) OTTAWA, March 5 (Reuters) - Sparked by signs that growth in telecommunications equipment sales will fall below 10 percent in 2001, UBS Warburg on Monday cut its estimates and targets for industry titans Nortel Networks Corp. and Cisco Systems Inc., while slashing its target for Juniper Networks Inc. Also, 2001 does not appear to be a one-year aberration, wrote analyst Nikos Theodosopoulos in a research note. "If our forecast is accurate, this will be the first year since 1993 that growth will not be in the 15-25 percent range," he wrote. "Given the rationalization under way in the service provider market, we do not think 2002 will have a resumption of growth to 15 percent plus either." The analyst has cut his estimate of global telecom equipment sales growth to 9 percent from 10-15 percent that he forecast in the first week of January. The dramatic slowdown has already fueled a string of earnings warnings that have hammered technology stocks in recent weeks. "It may not be until 2003 or later that growth approaches the 15-25 percent range of 1993-2000," Theodosopoulos wrote. "We think (price to earnings) multiples will at best resume levels prior to the last two-year boom period (when) P/E multiples typically ranged from 20 times to 30 times." Nortel <NT.N>, the world's No. 1 supplier of fiber-optic network equipment, was the recipient of the brokerage's deepest estimate cuts and its 12-month stock target was trimmed to $22 from $27. Earnings estimates for Nortel for 2001 were cut to 50 cents per share from 72 cents, and for 2002 to 80 cents per share from 90 cents. Revenue estimates for 2001 were reduced to $31.47 billion from $32 billion, and to $35.8 billion from $36.8 billion in 2002. On average, 43 analysts polled by research firm First Call/Thomson Financial forecast 2001 earnings of 71 cents a share. Citing weaker than anticipated U.S. demand and slowing sales for its long-haul optical equipment, Nortel last month hacked its 2001 revenue growth estimate to 15 percent from 30 percent and its earnings growth estimate to 10 percent from 30 percent. Theodosopoulos predicts Nortel will show flat revenue growth in the first half of 2001 and growth of 4 percent for the full year, with "flattish" growth in 2002. The analyst cited a major spending slowdown from WorldCom Inc. <WCOM.O>, one of Nortel's largest customers, and extended payment terms for fiber-optic customers Williams Communications Group <WCG.N> and 360networks Inc. <TSX.TO> <TSIX.O> Meanwhile, Nortel rival Ciena Corp. <CIEN.O> is gaining market share from Nortel in long-haul networks and competitor Lucent Technologies Inc. <LU.N> is aggressively bidding on new long-haul networks, the analyst said. CISCO, JUNIPER ALSO CUT BACK Cisco <CSCO.O>, the world's biggest computer networking company, received more moderate estimate cuts because it is less reliant on the service provider market, though it remains more sensitive to a U.S. economic recovery, Theodosopoulos wrote. UBS trimmed Cisco's 2001 earnings estimate to 62 cents a share from 64 cents, and to 73 cents per share from 74 cents for 2002. The 12-month stock target was scaled back to $30 from $40. "Special promotions (e.g. deferred payment plans for emerging carriers) and some slowing in the distribution channel, suggests that (the) first month of this April quarter was soft," wrote Theodosopoulos. Theodosopoulos chopped his stock target for Juniper <JNPR.O>, the world's No. 2 router company, to $100 from $250, citing his belief the stock will trade at a premium to Cisco. The analyst maintained his 2001 earnings target of $1.02 a share and 2002 estimate of $1.20. ($1=$1.55 Canadian) ((Susan Taylor, Reuters Ottawa Newsroom, 613-235-8385, e-mail susan.taylor1@reuters.com, fax 613-235-5890)) REUTER