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Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: Crzy Joe who wrote (14844)	3/24/1998 10:49:00 PM
From: Scott Lerner	Respond to of 45548

Many institutions were expecting these numbers...Yesterday, Peter Swartz, the Salomon Smith Barney analyst, said that COMS WILL MISS THE NUMBERS. He said that earnings could be as low as 3 cents. He was expecting this. He also felt that the stock could see some strength going forward. This guy is well respected in the networking sector and is a no bullshit analyst. He was not gung-ho at the wrong time. I would be anxious to see his spin on the COMS earnings and outlook. Also, I would be much more willing to bet on a company like COMS, emerging from mediocrity, than to buy some ridiculous, no P/E start up or IPO. COMS has a long-term, although recently tainted, track record and capable management. They are and will continue to be a threat to CISCO. Don't count them out. Networking is a BIG sector and there is a lot of pie. Let's see what happens. Scott

To: Crzy Joe who wrote (14844)	3/24/1998 10:50:00 PM
From: The Vinman	Read Replies (2) \| Respond to of 45548

OK, lets not even discuss inventory or merger problems. The facts are equally as dismal, gross margins DECREASED form 50% to 43%, a pretty steep drop. Did they say these would be improving? NO. Sales decreased sequintally from $621 Mill. to $549 Mill., probably much worse vs. last years same quarter. Margin pressure continues to plague modem business. It was a bad quarter no matter which way you look at it, and Coms offered little to say things would improve. The reason everyone is focusing on inventory and merger problems is because the company talks about little else, trying to hide performance. Vinman