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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?


To: j g cordes who wrote (17747)9/4/1998 12:42:00 PM
From: Johnny Canuck  Read Replies (2) | Respond to of 70269
 
Hi Jim,

The heavy volume and the fairly tight range on AFCI indictes someone
thinks it is a bargain. AFCI problems right now is that is management
lacks creditbility and it does not appear to have the ability to win
a RBOC contract. The impression is that AFCI is still too small to
properly service an RBOC contract. The result is loss of RFP
competitions to companies such as a DIGI. The heavy foreign sales
exposure can be a plus or a curse depending on the strength of
China. The lack of a DSL product is hurting sales too.

There are stocks with better prospects out there at this point.
ADCT just announced a win at GTE. Their HomeWorx cable telephony
product should be deploying in greater number soon. As I mentioned
in the ORTL notes, cable companies seem to be spenting right now.
The have a series of ADSL Product coming out early next year.
TLAB is looking incredbily cheap here too. The merger will hang
over this company till Nov, but as an investment or a intermediate
term trade this is a good entry point.