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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: jhild who wrote (25030)	12/1/1997 11:22:00 AM
From: blankmind	Read Replies (2) \| Respond to of 61433

asnd is worth $16. coms is a 4 billion dollar company with a market cap of 13 billion. 3x sales. csco with sales of 7 billion and a market cap of 58 billion, 8x sales. bay with sales of 2 billion and a market cap of 6 billion, 3x sales. asnd sales of 1 billion with a market cap of 5 billion. if we assume asnd will soon sell for 3x sales, then the asnd price is headed to about $16/share (190 million shares into 3 billion or 3x sales). this would align asnd with other networking stocks. we could very well head there, but i don't think so. csco is in a league of their own, and asnd is in many of the same fast growing internet markets. there is more than earnings to consider, such as net income (asnd is roughly the same as coms), and area of the market. asnd is in a faster growing segment. if asnd is bought out, if we go by history, buyouts are generally 8x sales.