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Technology Stocks : Genesys Telecommunications (GCTI) -- Ignore unavailable to you. Want to Upgrade?

To: Bobo who wrote (124)	8/14/1998 4:29:00 PM
From: Bobo	Read Replies (1) \| Respond to of 220

Ah...Let's make that positive comments from Robbie Stephens NEW YORK (Dow Jones)--Shares of Genesys Telecommunications Laboratories Inc. (GCTI) climbed nearly 10% on positive comments from a BancAmerica Robertson Stephens & Co. analyst, said President Michael J. McCloskey. Robertson Stephens in its morning meeting summary Friday said analyst Marshall Senk reiterated his buy rating on Genesys shares. Senk characterized the company as a "dominant public player in (the) enterprise computer telephony integration." He said the stock trades at a "significant discount" of 3.9 times 1999 revenue estimates, compared with 6.7 times estimates for its peer group. Senk also lauded Genesys' appointment of McClosky as president, saying the management change has helped focus the company more acutely on margin growth. McCloskey agreed that the company currently is more intent on increasing margins than in previous periods. However, he attributes the change partially to a diminished need to expand operations. "If you look a last year, we grew our revenues, but we could have had higher operating income," he said. Still, "we were investing a lot of money (in the company) last year." Senk estimates that Genesys' margins could rise to 20% by the June 1999 quarter, "if not earlier." McCloskey said he is comfortable with that view. The executive described his promotion to president as an "evolutionary move" adding that his predecessor, Genesys co-founder Gregory Shenkman, "grew the company to a certain point, and now it's time to make a change." Genesys recently was trading at 26 7/16, up 2 5/16, or 9.6%, on Nasdaq volume of 264,300 shares. Average daily volume is 171,200. -Justin A. Oppelaar; 201-938-5175