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Technology Stocks : Network Appliance -- Ignore unavailable to you. Want to Upgrade?

To: mtns_and_money who wrote (6959)	3/13/2001 10:32:19 AM
From: Winston Chen	Respond to of 10934

Dan W. gave estimate for .11c for the fy 4th quarter on the conference call. NetApp has made .30c for the first three quarters for fy 2001. So she's calling for .08c this quarter. I guess it's NetApp's field forecast v. her xzcving forecast. ntap.com It will be very interesting to see this one play out. I personally do not agree with her at all.

To: mtns_and_money who wrote (6959)	3/13/2001 1:12:45 PM
From: Jim DuBois	Read Replies (1) \| Respond to of 10934

So she is predicting 13% year over year growth, and thinks that it will support a PE of 100. In this market. And recommends it as a strong buy? I have to think she is the one bogarting. Much as I like this company, and continue to (painfully) hold. I think I will wait a bit before trying to catch any more falling knives.

To: mtns_and_money who wrote (6959)	3/13/2001 1:33:22 PM
From: pirate_200	Read Replies (3) \| Respond to of 10934

> "Prudential analyst Kimberly Alexy in a research report cut > the 2001 earnings estimate to 38 cents a share from a previous > estimate of 41 cents a share. She also lowered her 2002 earnings > estimate for Network Appliance to 43 cents a share from 55 cents." She is saying NTAP will earn .38 this year and .43 next year, meaning she is saying earnings growth is going to be 13%. But wait, there's more: > "Alexy also lowered her price target for the stock to $42 a share > from $71. The stock is rated a strong buy." So, she says earnings growth will be 13%, yet she MAINTAINS a strong buy and sets a $42 target? If she thinks the growth rate will be 13%, 13 x .43 = $5.59. Even if it's twice her 13% growth rate, that's only $11 a share, so where does $42 come from? Why maintain a strong buy? Is Kimberly math-challenged? Maybe the logic is that these analysts missed their targets so severely on the high-end, they are now giving ridiculous low-end targets to compensate? I don't get it.