Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : FORE Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Paul Jamerson who wrote (9167)	9/29/1998 7:38:00 PM
From: w2j2	Read Replies (2) \| Respond to of 12559

NEW YORK -(Dow Jones)- Analysts expressed concern Tuesday that fluctuations in orders might hurt second-quarter results of Fore Systems Inc., a maker of telecommunications-networking gear. At the close, shares of Fore (FORE) were down $3.25, or 17%, at $15.938 as volume exceeded 11.2 million sahres. Fore's quarter closes Wednesday, and analysts say the company is seeing a rush of orders at the quarter's end, rather than spread evenly through the quarter as Fore had hoped. Also, there are concerns that Fore wasn't able to ship a new ATM, or asynchronous transfer mode, switch in time, analysts said. Fore, of Warrendale, Pa., makes ATM switches, internetworking software and network management software, among other products. The mean estimate of analysts surveyed by First Call was for earnings of 14 cents a share, compared with seven cents a share in the year-ago period. Al Tobia, an analyst with NationsBanc Montgomery Securities Inc., said Fore's second-quarter revenue will deviate from his estimate of $155 million by "plus or minus $5 million" depending on how much product the company can ship in the next two days. Tobia continues to rate Fore a "buy," but warned of short-term volatility because of the product-availability issues. But analyst Paul Johnson of BancBoston Robertson Stephens Inc. said Fore's outlook remains good. The company has begun shipping its high-capacity ATM switch. While investors perceive the shipment as late, it is actually on schedule since it was always planned for October, he said. A bigger issue, according to Nutmeg Securities Ltd. analyst Andy Schopick, is whether Fore can offset the costs of its acquisition of closely held Berkeley Networks of Milipitas, Calif. That deal was valued at up to $250 million. Berkeley is considered one of the hottest private companies in the networking industry, as a maker of next-generation switching and routing equipment based on multigigabit technology. Copyright (c) 1998 Dow Jones & Company, Inc.