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Technology Stocks : VeriSign (VRSN) -- Ignore unavailable to you. Want to Upgrade?

To: Eric Van Buskirk who wrote (202)	6/26/1998 12:33:00 AM
From: Scott Kessler	Read Replies (1) \| Respond to of 1285

I agree that it's a good time to short some internet plays. That being said, I feel pretty good about VRSN here -- the company's recently announced alliances are pretty significant, especially that involving NETA. VRSN has amassed a very impressive clientele in a short time period, including U.S. West, Texas Instruments, Sumitomo Bank, the U.S. gov't and Kodak, to name a few. Getting back to my favorite internet shorts -- today I bought some LCSO puts. Of the big 4 issps (internet search and service providers), I believe LCOS to big the most vulnerable. SEEK has a high floor w/ the DIS investment. YHOO is the juggernaut. XCIT has a decent brand-name and is pining for a big-time investor. LCOS may still be looking for a buyer, but CMGI is a big holder and unless they sell to a TWX a major media co. investment is unlikely. Moreover, while YHOO is garnering major alliance and licensing revenues and XCIT provides intranet/web site searching capabilities, LCOS has no cognizable source of additional revenue momentum. I believe that LCOS has the highest valuation of the 3 not including YHOO. Shorting powerhouses AOL or AMZN is just stupid. I'd also consider SPLN and CNWK. CMGI would be more vulnerable w/o GeoCities coming public soon.

To: Eric Van Buskirk who wrote (202)	6/28/1998 4:30:00 PM
From: fred woodall	Respond to of 1285

Hello Eric, Your travels to Indonesia & Thailand give you a distinct insight to the recent turmoil in the region. I'm sure both of us would have the same conclusion to the outcome (short-term). Will be keeping a close eye on Japan next week for possible mergers. They have been talking the talk. <<What are your favorite Internet shorts>> I wouldn't recommend shorting any of them at the present. Institutional money is jumping into this market at an alarming rate. Greed & lack of respect for valuations will probably raise the sector up another 20%. VRSN hitting the spotlight once again with substantial customer base. I haven't rolled the numbers but earnings might become a momentum factor to consider. When I get a chance I'll look over the trading blks. from the last few weeks & post what I find. Good luck in your travels, Fred