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Technology Stocks : Wind River Systems - Technical Analysis -- Ignore unavailable to you. Want to Upgrade?


To: carolyn walder who wrote (209)5/18/1998 1:37:00 AM
From: Snowshoe  Read Replies (1) | Respond to of 431
 
>>The implication in your statement is that WIND can't make the
numbers like they used to - I wouldn't make that statement.<<

I'm aware that WIND is managing earnings conservatively and being
careful to avoid the end-of-quarter "hockey stick". But we seem
to have had a steadily declining growth rate during the last year...

Wind River Systems Earnings
(In thousands)
Revenue Income
Quarter Revenue Income Growth Growth
------- ------- ------ ------- ------
Q1-FY96 8,700 667
Q2-FY96 10,100 1,207
Q3-FY96 11,400 1,537
Q4-FY96 13,800 1,972

Q1-FY97 12,600 1,470 45% 119%
Q2-FY97 15,000 2,090 49% 73%
Q3-FY97 16,600 3,460 46% 125%
Q4-FY97 19,800 4,260 44% 116%

Q1-FY98 18,400 2,950 46% 101%
Q2-FY98 22,000 3,870 47% 85%
Q3-FY98 24,000 5,210 45% 51%
Q4-FY98 28,000 6,190* 41% 45%

Here are some scenarios for the coming earnings report, showing
the rate of earnings growth given various per/share earnings...

Q1-FY99 scenarios...

.15/shr 3,840 30%
.16/shr 4,096 39%
.17/shr 4,352 48%
.18/shr 4,608 56%

*Before subtracting one-time charge against earnings.

WIND needs to exceed by at least 2 cents to reverse the trend.