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Technology Stocks : COMS & the Ghost of USRX w/ other STUFF -- Ignore unavailable to you. Want to Upgrade?

To: Hassell Anderson who wrote (9981)	12/3/1997 7:49:00 AM
From: Moonray	Respond to of 22053

Hassell, no, just reporting the available news. Are you trying to change the subject? While I am not pleased with message of the subject, as an investor this subject is of little consequence, except to prolong my holding period. I have posted that COMS dropped 5 points in after hours trading yesterday, so we already have today's flavor. A word of advise to intermediate term traders: Dead money is the market's way of preventing you from making the same mistake on the next trade. If you want to make money in the long run, weather this storm and bet on the growth of the internet. o~~~ O

To: Hassell Anderson who wrote (9981)	12/3/1997 8:10:00 AM
From: Moonray	Respond to of 22053

Hassel, there are several stories like this around today. This is the last one I will post, unless the others have something new to say. 3Com Sees Lower-Than-Expected Quarterly Profit 06:54 a.m. Dec 03, 1997 Eastern By Kourosh Karimhany PALO ALTO, Calif. (Reuters) - 3Com Corp. says its second-quarter financial results will be far less than what Wall Street expected as it moves to slash inventories of unsold networking products sitting with its distributors. 3Com, the second-biggest maker of computer networking gear, also said weakening Asian economies and weak modem sales could hamper its results for several more quarters. The Santa Clara, Calif.-based company will report only a ''slight'' profit for the quarter ended Nov. 30 on revenue of between $1.22 billion and $1.24 billion. Wall Street had expected 3Com to earn 44 cents a share, according to a recent analyst survey by Zacks Investment Research. In the past few months, 3Com has been selling more products to its distributors and middlemen than they were able to sell to customers. In particular, fewer consumers have been buying modems from 3Com's U.S. Robotics unit because of an industry-wide marketing war over modem standards. 3Com slashed shipments to its distributors in the second quarter and took a hit to sales to deal with the problem ''rapidly and decisively,'' said Eric Benhamou, 3Com chief executive. Even so, it could take at least two more quarters for 3Com to deal with its problems, analysts said. ''They've got about another $210 million of unsold inventory'' to sell off, which could take at least one more quarter, Farrokh Billimoria, analyst at Hambrecht & Quist, said. Furthermore, networking companies are set to iron out technical differences over modem technology in January. If they do manage to settle the differences, it will not be soon enough to help 3Com in the third quarter. The third and fourth quarters will not be as weak as the second quarter, ''but they will certainly be weak,'' Billimoria said. 3Com gave its forecast after the market closed. The shares traded as low as $30.625 in after-hour trading, a 14 percent decline. The stock closed down $3.063 at $35.313 for the day. 3Com was the third computer company Tuesday to warn of weaker-than-expected earnings for the quarter, raising concerns that the technology industry will be hit hard by Asia's economic troubles. Disk drive make Western Digital Corp. lowered its earnings forecast for the second time in a month on lower sales of its products. Custom computer chip maker Altera Corp. also said inventory adjustments by its customers will lead to weaker-than-expected sales for the quarter. o~~~ O