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

To: Ed Forrest who wrote (54094)	7/20/2001 1:25:55 AM
From: George Sepetjian	Respond to of 77400

WSJ-Heard on the Street 7/20 Essentially a point-counterpoint argument on where the growth will come from and whether management is to optimistic in its projections. Here's the last part of it. Also fueling the skepticism, Cisco refuses to forecast exactly which markets will generate the huge growth it hopes to achieve, saying the precise mix five years out is bound to differ radically from whatever figure is forecast. That vagueness in justifying Cisco's 30% to 50% growth target has frustrated even loyal investors. "There is a credibility issue, especially as you get into the higher end of that range," Walter Casey, a buy-side analyst at Banc One Investment Advisors, says. Mr. Casey, who describes Cisco as an "important" holding, says Mr. Chambers "has got to come up with something specific here." Some even go so far as to say an admission from Mr. Chambers that Cisco's long-term growth is likely to be more modest would only help the company's stock. With shares well off their dizzying highs, they say, investors no longer assume the bullish growth rates they did. "Nobody, not even the most bullish investor, believes Cisco can grow by 30% to 50%," Paul Sagawa, an analyst at Sanford C. Bernstein & Co., says. "A lot of investors would feel more comfortable by management that was more realistic."