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

To: William Wang who wrote (18219)	6/25/1998 3:23:00 AM
From: joe	Respond to of 45548

>>Breaking $40 in near term is unlikely. << How do you define near term? Before July 15th will be hard. Even chance by August 15th, but some extra news is needed. I think EPS estimates will be driven partly by market action this week and next, isn't that how the market plays the game? EPS estimates are made to direct the market or direct the herd. As long as they have some credibility, this can easily be done. Look at it this way, when COMS was at 35 (more or less), interest rates were considerably higher. Fed was more inclined to raise. Economic fundamentals were stronger, which was bad for market. E.Asia problem was less of a problem. COMS fundamentals were considerably worse. v90 modems had hardly made any inroads into ISPs. I could go on with a few more...but you get the point. Compared to all that, things are much better, I think fair value before long will be between $40-45 provided some sort of extra reassurance can be given to institution. Maybe 10m share buyback will help this. Maybe a huge order will help. Maybe, a top flight ISP will upgrade to v90 and endorse x2 modems. Maybe some insignficant Cable modem deal will create a frenzy. Maybe Cabletron gets bought out, or Ascend also, leaving no networkers left. If the spin doctors want COMS up at $45 it can happen, just the same way they wanted it at $25, they can make it happen....we shall see.