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Technology Stocks : Ciena (CIEN) -- Ignore unavailable to you. Want to Upgrade?

To: The ChrisMeister who wrote (2666)	9/2/1998 3:37:00 PM
From: Doughboy	Respond to of 12623

I think CSCO is in a much better position to weather the Ciena storm. With TLAB, the merger is/was almost a merger of equals, whereas with CSCO, Ciena is 1/25th the size (just a ballpark guess). Ciena's fluctuations in earnings would have a less pronounced effect on CSCO's earnings and its ability to meet estimates. If Tlab's offer is worth in the neighborhood of $37-40/shr for Ciena, I would think CSCO would have to come in at 45-50, or around .5(CSCO) to make a winning play. I'm also a CSCO shareholder, and I don't think it would be that bad for us. If rumors are right, CSCO was probably offering $55-60/share a few months (or around .8 when Cisco was trading at 75) and was rebuffed. Now CSCO would get a huge discount off what they would have paid because Ciena has plummeted and CSCO's stock as currency has increased 25% or so. That's where I'm coming from. Doughboy.