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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: Dennis R. Duke who wrote (43513)	4/9/1998 8:54:00 PM
From: The Phoenix	Read Replies (2) \| Respond to of 61433

Quarter to Quarter, or Year over year comparison on your data? I really am too wiped to argue this one with you........ I don't care if they aren't growing a $1.1 billion dollar company at 20% per quarter. Well I think that this is in part the reason that ASND has a lower valuation than CSCO. Cisco is growing at 20%+ in revenues even thought they shipped 6.4B (I think last year). This year is expected to be in excess of $8B. So, as the market grows and is consuming more product vendors absolutely should be generating more revenue. It just seems to me a few million in growth yr over yr is a weak showing. They hit estimates, yes, but I think this was dialed in. ASND didn't warn and everyone knows that ASND, given their history absolutely had to warn if they were going to miss. Since they didn't the expectation was they would hit and the stock bid up. But, the revenue and earnings growth don't look that great. I think the stock will slide a bit on Monday...I don't expect a big sell-off, but I think 36-37 can be expected.... What do you think? Then, perhaps this is a buying opp. if ASND starts shipping against their contracts. I should go on to say that a book to bill of slightly over 1 when their just barely beating revenue growth in a market growing much faster...doesn't thrill me. Gary (not Korn)

To: Dennis R. Duke who wrote (43513)	4/10/1998 12:49:00 PM
From: JRH	Read Replies (1) \| Respond to of 61433

I don't care if they aren't growing a $1.1 billion dollar company at 20% per quarter. So you must not be _too_ long on this company. If this company is growing less than 10% year over year, then you should expect the stock to only increase 10% per year. Personally, I find other networking companies to be much more lucrative in terms of stock growth. It is important that ASND beat earnings estimates, but remember that these estimates were beaten down after last year. I could name a number of networkers that I would much rather stash my cash into..... Best of luck, JRH (NOT short ASND)