Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : CellularVision (CVUS): 2-way LMDS wireless cable. -- Ignore unavailable to you. Want to Upgrade?

To: Bernard Levy who wrote (812)	1/5/1998 5:08:00 PM
From: Steven Bowen	Respond to of 2063

Although I certainly respect your comments, I guess I can claim my own viewpoint. First off, note a few analyst comments made recently: "It's got to be on the list of ideas for AT&T to look at," says Ned Zachar, a high-yield analyst with NationsBank Montgomery Securities, "and it should be on the list of Sprint and on the list of WorldCom." As long as Winstar can keep making such positive strides, its future looks bright. "I think it turns into a multibillion-dollar-per-year sales organization," Noel says, "or it gets bought." (from H&Q) NationsBank Montgomery Securities telecommunications analyst Bill Vogel said the FCC report "increases the visibility of WinStar's franchise. It shows that the asset is not encumbered and not potentially encumbered going forward....This makes it a much clearer franchise." The FCC was not immediately available to comment. Vogel reiterated a buy rating on WinStar and raised his price target to $60 from $41. Shares of WinStar jumped 1-15/16 to 26-7/8 in early afternoon trading. Vogel said the FCC report clears up several issues regarding WinStar, which could make it a more likely acquisition target. Potential buyers, such as AT&T Corp and Sprint Corp , could pay "as much as $80 a share or more for this company," Vogel said. And check out today's article: Message 3096032 So I don't believe it's just us WinStar shareholders that are being way too optimistic; nearly every analyst from all the firms are saying pretty much the same thing. We shareholders just keep repeating it. On your comments: "AT&T can afford to be patient". I don't agree. Every major phone company, long distance and local, is in talks or has talked to WinStar. If AT&T drags their feet and loses WinStar to a Sprint or a WorldCom, I think it would be a major mistake. "A high takeover price would be difficult to sell to AT&T shareholders." Don't agree, Armstrong is like a god now at AT&T with their stock at 60. I think he could get anything he wanted. " AT&T needs to buy out a wireless company which targets residential customers." Not aware of anybody currently attempting to get broadband wireless service to the residential market, except CVUS. Maybe that was your point :-) It looks like you've done a little work checking on WinStar. If you have any interest, how about joining us on the WinStar thread and we won't keep cluttering this thread with talk of WinStar.

To: Bernard Levy who wrote (812)	1/6/1998 9:43:00 AM
From: Brian Coakley	Respond to of 2063

Bernard, The debt/cash situation has been addressed in the last several conference calls with the co. They have stated that losses will peak in 4th quarter 97 and begin declining in 98 and then become EBITBA positive (cash flow positive) in 1999. Now, it is a matter of execution, and only time will tell. They made two recent acquisitions where the company went out of it's way to highlight the accretive aspects of the transactions so that, presumably, analysts would not think that they had changed their plans to focus on becoming cash flow positive by 99. Regarding the residential aspect of ATT's customer base, I don't think any one company is going to provide all of what ATT needs. They will acquire some peices, resell some more, and build the rest. The mix of that will determine if WCII is a good fit. You may be right on, and in that case it becomes more important that they continue to execute, which, so far, they appear to be doing. Sorry about the WCII post on this thread. Thanks for your comments, Brian