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


To: STEVE who wrote (50904)7/31/1998 2:18:00 PM
From: Tie Zeng  Respond to of 61433
 
If the rumor is true, the stock will probably stay
low for quite a while. See what happened to NT buying BAY
and AT&T buying TCI. They both lost more than 10% on the news
and still haven't recovered fully yet. Still about 10% lower.
In those cases, buying calls might not be that profitable.

But the relative sizes are quite different this time.
SRA is only about 10% of ASND, while BAY is about 1/3 of NT.

Tie