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 : QUANTUM -- Ignore unavailable to you. Want to Upgrade?

To: Bleeker who wrote (7549)	3/18/1998 4:13:00 PM
From: Bleeker	Read Replies (1) \| Respond to of 9124

Here is a story that raises questions about my bullish assumptions: it was released today on thestreet.com. By the way, I found out that earnings for FY Q4 will be released in mid-April. Herb on TheStreet By Herb Greenberg Senior Columnist Jabil Circuit (JBIL:Nasdaq) late yesterday warned that it would barely hit analysts' estimates for its fiscal second quarter. It also warned that the next two quarters are likely to be weaker than analysts expected. Our Jabil short-seller was particularly impressed with the company's comment that its computer peripherals business was down 18% last quarter. Jabil didn't give names, but one of its biggest peripheral customers is Quantum (QNTM:Nasdaq). Jabil makes its digital linear tape drive, which is a fast-growing, fat-margin product that currently represents about 25% of Quantum's revenues. If Jabil says its peripherals biz was down 18%, could Quantum be a tech wreck in waiting? There's been plenty of speculation that it will be. Furthermore, according to this Jabil short, who takes copious notes: At a recent Goldman Sachs analyst meeting, one top Quantum exec said the company's DLT biz would be up 5% to 10%. Then, at a Robertson Stephens conference two weeks later, the same exec said they would be plus-or-minus 5%. For its part, Quantum says there was no inconsistency. P.S. I have edited out a lot of the Jabil portions of the column and left the Quantum part intact. I also took out parts about other stocks, etc. I still think Quantum's digitial disk drive business may do surprisingly well based on the exexutive's comments at the Goldman Sach's conference. We'll find out in a few weeks. Bleeker