To: James Connolly who wrote (9316 ) 3/9/2001 7:22:54 AM From: capt rocky 1 Read Replies (1) | Respond to of 10309 to all: news from palm. could palm be a buyer of wind? do they have the money to tender for wind? wind would seem to fit. rocky Stock(s) in Focus PALM 20.375 0.000 COMS 7.000 0.000 View WatchList Edit Symbol(s) Symbol Search Portfolio Tracker -------------------------------------------------------------------------------- Palm Takes One Giant Step Forward -- Mar 7 2001 by Elyssa Jaffe Looking to bolster its position in the corporate market, handheld maker Palm [PALM:Nasdaq] said Tuesday it will acquire mobile data management company Extended Systems [:Nasdaq] in a stock deal valued at roughly $264m. The deal marks the company's first acquisition of a public company since its spin-off from 3Com [COMS:Nasdaq] last year. Extended Systems' products help workers access and collect data while on the go. For Palm, the deal allows it to offer aa handheld infrastructure that can go behind a company's firewall and support not only handhelds using its Palm operating system, but also products using rival operating systems. Palm will offer its corporate services to customers using handhelds that run either the Palm OS or Microsoft's Pocket PC operating system. The deal will cut Palm's operating earnings by $15m in the fiscal year that begins in June. Some of that dilution will come because Palm plans to exit Extended Systems' printing and Internet hardware businesses, which accounted for 54% of the company's $13.8m revenue last quarter. Also this week Palm introduced to the market a new entry-level handheld computer with more memory and bundled with software that lets Palm users with mobile phones send and receive e-mail, browse the Internet and chat from virtually anywhere. Palm's launch of the new model is start of what is expected to be a full year of new products. Handheld devices are hugely popular nowadays. Sales of personal digital assistants jumped 165% this holiday season over last year. Sales are up due to ease of use, functionality and value. Such growth enables Palm to remain the undisputed leader in the market for handheld organizers, with a 70% share. Despite component shortages, Palm recently announced that it continues to see its fiscal 2001 sales in the range of $1.9bn-$2bn, with sales of $500m-$530m expected in the current quarter. In the last quarter the company generated sales of $401m. The company will announce results late in March. Although we expect good things from the report, the tone of the overall market forces us to remain Neutral on the shares at this time. Market Timing From the Technical Desk On Feb. 7, we said: "Palm [PALM: Nasdaq] hit our target of $20. Strong support rests at $19-5/8. We expect the stock to bounce up to $24 in one to two weeks. It is trading at $21-11/16." After our last call, Palm bounced to our upside target of $24. Since then, Palm had dipped under key support at $19-1/2. Currently, the stock is making a comeback. Look for a challenge of the downtrend line at $23. It is trading at $21-3/16. Risk Tolerance: ***(* Low risk, ***** High risk) back next latest stories Feedback -------------------------------------------------------------------------------- Feedback: We have re-designed the FreeRealTime.com website to give you faster, easier access to a growing list of financial services. Our continuing evolution depends on the valuable feedback we receive from our members. Click here to offer us your suggestions. Questions: If you have questions and require technical support, contact us at support@corp.freerealtime.com. DJIA 10,858.25 0.00 Nasdaq 2,168.73 0.00 S&P 500 1,264.74 0.00 10 Yr Bond 4.89 0.00 12,000 STOCKS Find the ones that meet your investment goals. Recent Analysis Analyst Call on Xbox On the Money Bear Stearns Backs Off Q1 Guidance Amkor Warning: Already in the Cards? IBM Pumps Some Life into Business page: 1 2 3 4 5 >> -------------------------------------------------------------------------------- Trading Center --------------------------------------------------------------------------------