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Technology Stocks : DSC Communications -- Ignore unavailable to you. Want to Upgrade?

To: Moe Damghani who wrote (3586)	2/15/1998 8:55:00 AM
From: kech	Respond to of 4429

Moe - I finally found the SmartMoney article. The general argument is that DSC had prospered in the long distance switching market but when the Telcom Act of 1996 went through they didn't have switches that offered features required for local call switching. (I assume this is caller ID, intelligent Network type features). Anyway the claim is that DSC had invested in adding these features and is now well positioned to compete in the RBOC switch market. Anybody agree or disagree with these claims?

To: Moe Damghani who wrote (3586)	2/15/1998 9:00:00 AM
From: Paul Lee	Read Replies (2) \| Respond to of 4429

Did i read it wrong or on a recently filed 13g did The Equitable claim to own close to 12% of the Company, in excess of 11,000,000 shares. Somebody must like this puppy?

To: Moe Damghani who wrote (3586)	2/15/1998 1:51:00 PM
From: Carl B.	Read Replies (2) \| Respond to of 4429

Some insights from a long time DIGI stockholder (1991-present). Historically, DSC has performed erratically and unpredictably in regards to earnings and price performance (this going back at least two decades through it's existence as Digital Switch, when it reached a split adjusted high of 50 or so in the eighties). Given it's price history of rocket-like upward movements followed by precipitous downward plummets, it is no surprise to me to find the stock being avoided during the nervous flight-to-quality market of the past few months. This is not a stock for the feint of heart. One constant in all the volatility through the years has been a high professional regard for the company's products and an ability to bring new and innovative products to market regardless of investor sentiment and even questionable management decisions. I have witnessed no compelling reason to expect future performance to depart radically from historical patterns, and thus I see the money I have invested in DIGI as a high risk bet on an innovative, volatile, unpredictable company in an industry sector whose time has definitely arrived. There are clearly safer bets in the telecom-networking sector with considerably less downside risk (the names are well known to all) but that is a major reason why DIGI is trading at a considerably lower multiple than most of them. Questions about managements' ability to keep earnings on track should not be disregarded. They form the crux of the matter, and will be the determinant in the future price performance of the company's stock. Step right up and place your bets. Caveat emptor!