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Technology Stocks : MRV Communications (MRVC) opinions? -- Ignore unavailable to you. Want to Upgrade?

To: SJS who wrote (7084)	2/20/1998 7:55:00 PM
From: Sector Investor	Respond to of 42804

One more trading day until MRVC announces their 32nd straight quarter of revenue growth. With all the Asia furor, I think the street lost sight of that. It is quite an impressive record, and matches CSCO, who also announced their 32nd straight qtr of growth. With Asia uncertainty facing many companies all this year, the fact that MRVC growth is still intact (albeit below 100% on earnings, but still close to 100% growth on revenue) should stand out. A lot of funds are looking for safe places to put their cash inflows to work. Earnings excluding acquisition charges for MRVC was $ 0.46 in 1996 and we should come in between $0.87 and $0.90 - not quite 100% growth. Revenue should be about $167M - $170M vs $88M in 1996, or also close to 100% growth. How many other techs can match that? Plus proper growth of Xyplex gives us a shot for 1998 as well. One interesting thing with MRVC announcing earnings this late is that Q1 is already about 60% half over. MRVC should be able to give good guidance for Q1 in the CC. This could light the fire for the next few weeks - I think we will see $35 or very close to it and no more $20s range. Q1 earnings date (only 2 months away) will have the charge for the Xyplex acquisition. Once past that, MRVC has indicated Xyplex will be accretive by Q2 and the larger sales staff should be fully trained by then. There is also a new product from Xyplex coming out within 3 months. All in all, we should see $40s later this year, IMO.