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

To: Jeffery E. Forrest who wrote (10090)	12/3/1997 6:04:00 PM
From: David Lawrence	Read Replies (3) \| Respond to of 22053

>>I was sitting before my machine like a buzzard. Had about 10 browsers all open and ready to pounce. Then all of a sudden all hell broke loose. I was pushing buttons as fast as I could and swearing like a sailor at how slow my machine was acting. Are you sure that you aren't me?! <gggggg>

To: Jeffery E. Forrest who wrote (10090)	12/3/1997 6:23:00 PM
From: Andrei Rogosin	Read Replies (2) \| Respond to of 22053

Jeffery, Good call on todays ride. I was wondering about what you think Coms can do from here. Between a Q2 EPS of say .02 and a Q3 of say .25 the PE would be pretty high to keep going up. Then again those numbers aren't entirely because of poor sales (inventory issue) and there are may new products in the pipeline and the modem standard might be hammered out by the end of Jan. so the earnings outlook may change. Any opinion on the near-term would be appreciated. Thanks.

To: Jeffery E. Forrest who wrote (10090)	12/4/1997 9:19:00 AM
From: Moonray	Read Replies (2) \| Respond to of 22053

GOATS Contract manufacturer Jabil Circuit (Nasdaq:JBIL - news) got burned for $4 to $42 9/16 today after 3Com Corp. (Nasdaq:COMS - news) announced that its second quarter will not meet expectations because the company is cutting shipments to distributors in order to reduce inventories. As of the fiscal year ended August 31, 1997, 3Com accounted for 21% of Jabil's net revenues, followed by 20% from Cisco Systems (Nasdaq:CSCO - news). 3Com is also a large customer of upstream manufacturer Solectron Corp. (NYSE:SLR - news) . Networking represents 30% of Solectron's business, but 3Com is not its largest customer. Solectron was cut for a $4 7/16 loss to $33 5/16 anyway. Short of a complete cancellation of orders, it is precisely this type of event that scares investors in the contract manufacturing arena the most. However, both Jabil and Solectron are efficient operators with high inventory turns and low day sales outstanding. Assuming that the channel stuffing that 3Com engaged in smoothes out through the holidays, neither company should be significantly off pace in 1998. fool.yahoo.com o~~~ O