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Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: joe who wrote (21863)	9/22/1998 2:40:00 PM
From: Tim Luke	Read Replies (1) \| Respond to of 45548

ok, i will start with my guess on the #.............24

To: joe who wrote (21863)	9/22/1998 3:00:00 PM
From: Wigglesworth	Respond to of 45548

3Com Seen Reporting 1Q Earnings In Line With Estimates Dow Jones Newswires NEW YORK -- 3Com Corp. (COMS) is generally expected to meet consensus estimates for its fiscal first quarter, and some analysts believe the company could beat the official Wall Street view by a penny or two. According to First Call Corp., the consensus earnings estimate is 20 cents a share for the quarter ended in August, compared with a restated loss of 15 cents a year earlier. The company is scheduled to report its results after the market closes Tuesday. 3Com told analysts in June that revenue in its first quarter would be flat to slightly up sequentially, due largely to seasonal weakness, which tends to be particularly strong in Europe. The company had revenue of $1.38 billion in the fiscal fourth quarter ended May 31. But Sanford C. Bernstein & Co. analyst Paul Sagawa believes 3Com's revenue will rise sequentially somewhere in the mid-single-digit percentage range. SG Cowen Securities Corp. analyst Chris Stix believes, however, that 3Com officials will be hesitant to blow away estimates even if they could since "the company is trying to put together a stream of (solid) quarters." Looking ahead, Needham & Co. analyst Peter Lieu does expect 3Com to guide analysts to expect strong sequential revenue growth and substantial operating margin improvement. The analysts believes 3Com will deliver "flattish" sequential revenue growth and operating margins of about 6% in the first quarter. Analysts will be keeping a close eye on 3Com's inventory levels since the company was plagued earlier in the year by bloated inventories in the distribution channel. 3Com did slow shipments to distributors to address the problem and has assured analysts that it had brought its inventory levels down in line with lower targets. Analysts will also watch sales of 3Com's v.90 modems, which are based on the new 56K modem standard set in February. Many are concerned that sales of the new modems have not been as robust as hoped. 3Com's shares recently were up 3/4, or 2.3%, to 32 13/16 on Nasdaq volume of 7.6 million, compared with average daily volume of 7.8 million. -Joelle Tessler; 201-938-5285