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Pastimes : Ask Mohan about the Market -- Ignore unavailable to you. Want to Upgrade?

To: x70sxn who wrote (12700)	1/5/1998 1:04:00 PM
From: Zoltan!	Respond to of 18056

>>I did my own 'Funny Research'. I went to library and went through 4 of the financial magazines (Forbes, Smartmoney, Kipl. and (?)forgot). And I found out that none of them mentioned csco (As a part of 98 issues to own sorta) except for one person who incidently recommended LU (Very high PE ) Risible you mean. Sorta. Cisco is in the SmartMoney: Ten Stocks For The Year 2000 portfolio (carried in each issue): SmartMoney: Ten Stocks For The Year 2000 And Beyond: --- Invest In The Technology Of Tomorrow. Today (This story appears in the October issue of SmartMoney magazine. By James B. Stewart) Their Premier Pick "We believe Cisco Systems could be the Intel or Microsoft of the next decade, a blue-chip security with explosive earnings growth. Cisco is already the clear market leader in networking products, which not only enable computers to communicate with one another, but also make Internet communications possible. All of this makes the San Jose, Calif., company perfectly positioned to capitalize on the surging popularity of the Internet." "Founded in 1984 by a husband-and-wife team of Stanford professors who wanted to link their own computers, Cisco's revenue grew 57 percent this year, to $6.4 billion. The mean estimate of analysts surveyed by Zacks gives the company 33 percent annual growth for the next three to five years. We like Cisco's recent acquisitions, especially Ardent Communications, which makes equipment that combines video, voice and data communications. Cisco shares dropped this spring in a selloff of networking stocks, for what seems no rational reason. Though its profit growth has slowed from a blistering pace of 50 percent per annum, it has still notched impressive gains that have generally met or exceeded analysts' projections. Its P/E ratio of 23.8 (based on 1998 earnings) seems reasonable, given the company's growth prospects and dominant position in its market." There's that P/E again. Regards BTW, they prefer Tellabs to Lucent and appear to have dropped 3Com stating "it had very strong growth in sales". Could explain the the moves.