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Microcap & Penny Stocks : FRANKLIN TELECOM (FTEL) -- Ignore unavailable to you. Want to Upgrade?

To: Asia Dave who wrote (23720)	12/29/1997 10:46:00 AM
From: elk	Read Replies (1) \| Respond to of 41046

Asia Dave, Walked into a firestorm, Nahhhh! It's a Tempest! The best answer I can give to your many questions is to try and find the answer yourself, since this way you can trust your decision. What you have described in your post is a textbook example of a company moving from R+D to Production/Manufacturing. All the factors that you list apply to that transformation. The growing pains were there and we may still have some to go, but the worst of those are over, IMHO. We now have products to sell and ship that can turn those numbers around in an awful big hurry. A 2.5 M sale already has this ship heading in the right direction and 1 or 2 more of that size or even larger and we are on are way. How fast can it happen? Look at these charts for a glimpse of what goes on when you are in a Hot Tech sector. chart.yahoo.com chart.yahoo.com chart.yahoo.com Look at their numbers, before they made the leap to the 20's. You may find some interesting paralells to Franklin in there. Also keep in mind that most of the companies in this sector either manufacture hardware or sell minutes. We do both! Prior to the FNET IPO, when you purchase FTEL, you are buying, in a sense, FNET as well. If you do not find the comparisons to your liking, then I suggest you look at companies that moved from a similar RD to P/M environments. Check out the numbers before and after, you'll see the same patterns. BTW I would look at companies that had very successful products introduced to the marketplace, this way it WILL be a true comparison to FTEL.<GGGGGGGGGGG> Best of luck, Evan

To: Asia Dave who wrote (23720)	12/30/1997 7:18:00 AM
From: SoliRA	Read Replies (1) \| Respond to of 41046

Asia Dave, Your questions are good for someone new to this board (like me). The word "speculation" has been used by others several time in reference to FTEL, as opposed to investment. This is not the type of stock Warren Buffet favors. Earnings in hand give you more confidence than a company built on promises. But ... sometimes the promises pay off big. I've seen the "big news is just around the corner" talk for several months now. The latest message is "This time, it REALLY, REALLY IS just around the corner". I think that this is right. If the Tempest sales reports don't come in in January, FTEL will languish and only herculean efforts will keep it from sinking beneath the waves. If, however, the sales are there FTEL will rocket up. Stock pickers will have earnings to give them traction and that, combined with future promise of a huge potential internet telephony market will keep FTEL going. Their technology is better than most, I've read about this but have not heard the phone calls. Atin on a telephony thread says that the FTEL superiority in technology can be matched eventually - maybe in months, not years, and that they don't have enough ports to make their machines as suitable for big players. FTEL has cleverly arranged to lick their own ice cream cone by establishing FNET to buy their hardware and then sell telephone calls. It's a neat idea. I haven't been as impressed with FTEL's marketing skills. I guess it's good to concentrate on product and partners, but without good marketing you can still end up at the back of the bus even you're better at all the other squares. January's going to be interesting. Hope this helps. Bob.