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Technology Stocks : Oclaro, Inc. (Avanex-Bookham) -- Ignore unavailable to you. Want to Upgrade?

To: Wes Stevens who wrote (1798)	4/3/2001 6:25:49 PM
From: Shaw	Read Replies (1) \| Respond to of 2293

There is one positive about this NAZ sell off, every day are share buying power, increases significantly from the day before. I didn't buy today, in the $8 range, because of the continuation, of the sell off, in the overall mkt., and Avanex. Labrador $6 may be a good target to shoot for, as my seat of the pants valuation at $8, doesn't factor in, any new deterioration that has happened since the last guidance. If we use $6/share and 15 cents a share in earnings this year, that would give us a PE of 40, which would fit with a more conservative growth rate of 40%. Of course all this means nothing, until Avanex gives new guidance, and numbers. 15 cents may not hold this year, and we don't know what growth rate to expect, going forward, as Avanex works its way through this period. The multiple warnings from CSCO and NT are major, so we have to factor that in. Non the less, I still believe co.s like Avanex, deserve a certain level of premium, because of the potential for future growth. I guess worse case sanerio, with extreme mkt brake down, the shorts have a chance at seeing $3or$4, but hey, if it comes to that, are dollars will go that much further. Anyway all you can do in this mkt. is play it by ear, or wait for the mkt to turn up, and buy a little higher. I am just trying to find an area, where the mkt. begins to hold, and then I will deal with it from there.