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Technology Stocks : Applied Innovation (AINN) - Network Mediation Systems -- Ignore unavailable to you. Want to Upgrade?

To: LTK007 who wrote (17)	12/3/1997 2:31:00 AM
From: Roger Louis	Respond to of 468

I'm thinking of writing options on this stock. The premiums are very good.... Dec7.5 @ .81. With AINN @ 7.5 today this would give you a 10.8% return in 2 1/2 weeks. This stocks keeps losing money, this might explain the drop in price over the years. Whats up with this stock?

To: LTK007 who wrote (17)	12/3/1997 4:39:00 PM
From: KEN G	Respond to of 468

Max90: No, I don't know what happened 2 years ago but, I do know that last year they invested about 6 Miliion in R&D to develop an access server. That kind of investment for a small company like this killed short term earnings. That product is now available (the 4800) and will scale, has interfaces to ATM and frame relay and is NEBS compliant (meets all requirements for telco central offices). It's already in service in one RBOC and rumor has it that US West as well as one other RBOC has signed up.I don't know about the rumor but, the product is excellent and recent volume suggests there might be truth to the rumor. Oh also, the CEO owns 1/2 the stock, always a good sign and, he didn't unload at previous highs. Good luck. Ken G

To: LTK007 who wrote (17)	12/4/1997 12:22:00 PM
From: Royalcoachman	Respond to of 468

The stock had a market capitalization of about $400 million at the high of 32. The company reported a long series of quarterly and annual earnings that exceeded 100 %. At 100% earnings growth, the stock sold for 80 times earnings and 20 times sales. With multiples like that, any failure to maintain the earnings growth will cause the price earnings multiple and the market capitalization to contract. When the earnings went away, so did the stock price. This company has made switches in the past that are used by the telephone companies to control the internal equipment of the the baby bells. The new 4800 switch is the first entry into the trunk line switching. this is a huge market compared to the one previously served. I understand that the next switch, the 5800 is in development and will be ready to be shipped next year. This switch will obviate the need for POP's and bring internet access switching into the REBOCS. If U. S. West orders the product, the order can be as high as $40 million. There are only 16 million shares outstanding, so an order that size can produce a great amount of profit per share. The company stands to make a lot of money on this new swithc and the business in their old products is still strong and the cash flow from their current business has funded the R&D for the new switches. The stock has a good following and has the potential to move up dramatically. David Corna

To: LTK007 who wrote (17)	12/4/1997 4:57:00 PM
From: MENSO	Read Replies (1) \| Respond to of 468

>>> it moved up over 100% without news and with 6xnormal volume and then faded and nobody knows why. <<< What do you mean by "nobody knows why"?... On several ocassions I posted to the Centura thread that the rumor of a takeover by Oracle published by Spencer The Katt was in fact partially true. It was Borland that was making a move on Centura, not Oracle, but my information is that Centura told them to get lost. I have not been able to confirm how many shares of CNTR Borland bought or whether they still own any of them, but it's probably a mute point now that Borland bought-out Visigenic instead...