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Technology Stocks : Westell WSTL -- Ignore unavailable to you. Want to Upgrade?

To: Trey McAtee who wrote (10596)	5/6/1998 10:20:00 PM
From: Zephod	Read Replies (4) \| Respond to of 21342

>they werent tightlipped last fall. Trey; Did BT ever make an announcement? I know Westell did. <http://www.westell.com/pr078.html> Dave

To: Trey McAtee who wrote (10596)	5/6/1998 10:50:00 PM
From: hal jordan	Read Replies (1) \| Respond to of 21342

Trey, I didn't get a chance to listen, but from what you wrote I believe 1998 forecasts are far too optimistic. It sounded like somebody said 500k will be deployed in '98. IMHO there is not a chance of that happening. We have a little over seven months left in the year with no deployments to date. 500k--not a chance! The major deployments will happen in 2000. All hell will break loose in the stock market with those companies that have the contracts in the heavily deployed areas. So will WSTL be one of them? Lets see, who has what right now... Cisco will be a major winner. I don't own any CSCO stock, but I should probably be buying tomorrow if I had any investment sense. Netspeed will turn out to be a gold mine for them. US West now, we'll see who buys later. COMS will win big in the ATU-R market. I have no doubts about that. Currently, COMS has zippo in the bag, that will change. Orckit (pure xDSL play) is certainly a company anyone wanting stock in the ADSL sector should own. Probably only a matter of time before Fujitsu buys them out. I only own a few hundred shares. A very wise move would be to buy more--a lot more. GTE starts deployment with Orckit this June. How long will Orckit be around $20 when that starts? Redback--not public--yet. Will be a major winner. Efficient Networks--going public. ATM/ADSL play. Writing ATM code for Microsoft. Another probable winner. This brings us to Westell. Its future rides on one product--ADSL. At about $11 a share with a BEL deployment around the proverbial corner, it seems like a no-brainer to buy at these levels. Unless they lose the BEL contract or BEL delays deployment for unforeseen reasons. Deployment is by no means a guarantee. So we have to be very careful. Additionally, WSTL has a relationship with LU for DLC/RT and switch based ATU-Cs. This is a major plus. However, at this point in time, it seems the RBOCs have been reluctant to go with the in-the-switch deployments and would rather have external dslams for data overlay networks. It all boils down to risk versus reward. At $11 a share, there is not much more to lose, unless you place big bucks here and WSTL loses half its value. That could always happen. I don't think it will happen by end of '98. The more likely event is WSTL is far higher in price by year's end. Waiting game now. Oh, and for the other players I have not mentioned--ASND, PAIR, etc... not worth the effort at this time. No large RBOC deployments announced with any of them. Hal