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

To: Sawtooth who wrote (4650)	10/29/1998 9:28:00 PM
From: TokyoMex	Respond to of 12623

CORRECTED-Ciena stock rises amid deal speculation In New York item headlined "Ciena <CIEN.O> rises amid renewed deal speculation" please read paragraph two as "Also, an indication that Ciena had increased purchases from one maker of components used in its equipment was also 'injecting some optimism' into the stock" instead of "...at least one company was buying more of Ciena's equipment..." (corrects to show Ciena was the party doing the buying). A corrected version follows. NEW YORK, Oct 29 (Reuters) - Shares of Ciena Corp. jumped as much as 35 percent Thursday, amid renewed hope that the battered maker of equipment that boosts the capacity of telephone networks was once again a possible takeover target, traders said. Also, an indication that Ciena had increased purchases from one maker of components used in its equipment was "injecting some optimism" into the stock, one analyst said. (corrects to show Ciena was party doing the buying) Ciena shares, far and away the most active on Nasdaq, closed up 3-3/16 at 15-7/16. They had reached as high as 16-1/2 earlier. More than 31 million shares changed hands during the day. Several arbitrage traders, who deal in takeover stocks and who declined to be identified, said the movement was based largely on speculation that Ciena was again an attractive takeover target. About six weeks ago, Ciena was dumped at the altar by rival telecom equipment maker Tellabs Inc. <TLAB.O> after a string of bad news about Ciena's business outlook clobbered both companies' shares. Their $4.7 billion planned merger, a transaction originally valued as high as $7.1 billion, was officially called off Sept. 14. Speculation about a second attempt at a deal between the two surfaced last week after a newspaper account suggesting that Tellabs remained interested in Ciena for its technology. Ciena's wavelength division multiplexers, or WDMs, divide lightwaves in fiber optic cables, thus boosting a network's traffic capacity without having to add new lines. William Magill, telecommunications equipment analyst at NationsBanc Montgomery Securities, said Thursday's surge was also related to word that Ciena had boosted purchases from one of its key suppliers, Uniphase Corp. <UNPH.O>, which could indicate Linthicum, Md.-based Ciena's battered business outlook was improving. "That has put some optimism back in the stock that has been absent for some time," Magill said. A key factor in the collapse of both the Tellabs deal and Ciena's stock price recently was a series of lost business opportunities. Ciena lost out on opportunities to sell equipment to AT&T Corp. <T.N> and another competitor muscled in on a long-term relationship it had had with another customer. As for the takeover speculation, Magill said such rumors would continue to affect the stock in coming months because Ciena's technology has broad appeal to other equipment makers. "Those rumors are always out there and will continue to be," he said. But, Magill said, given its dramatically lower stock price -- it had traded into the low 90s in July -- he believes "Ciena would be reluctant to sell at the current valuation." "I think you would see a pretty big disconnect at the moment between buyer and seller over a fair market value of the company," Magill said. 17:20 10-29-98 Copyright 1998 Reuters Limited. All rights reserved. Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon. All active hyperlinks have been inserted by AOL.

To: Sawtooth who wrote (4650)	10/29/1998 9:31:00 PM
From: TokyoMex	Read Replies (1) \| Respond to of 12623

Ciena Rises on Optimism It's Still a Takeover Target Linthicum, Maryland, Oct. 29 (Bloomberg) -- Ciena Corp. rose 26 percent amid optimism that the maker of equipment to boost the capacity of phone networks may still be a takeover target for a large telecommunications or networking company. Ciena rose 3 3/16 to 15 7/16 in trading of 31 million, making it the most active stock in U.S. markets. Phone-equipment maker Tellabs Inc. scrapped its planned acquisition of Ciena last month after Ciena lost some contracts and issued a profit warning. Michael Birck, Tellabs chief executive, said last week that Tellabs hadn't ruled out buying Ciena to get new technology and broaden its product line. Cisco Systems Inc., the No. 1 computer- networking company, also said it evaluated Ciena as a takeover target and decided not to buy it, and optical networking gear like that made by Ciena is in demand by other equipment makers. ''Ciena would be an interesting takeover target for a lot of people,'' said David Takata, an analyst at Gruntal & Co. Important Technology Though Cisco Chief Executive John Chambers said last month that his company decided not to buy Ciena, he added that Ciena's equipment is an important piece of networking technology. Ciena's so-called wave division multiplexers, or WDMs, split beams of light on fiber-optic cables into many colors, allowing one strand of fiber to carry more information. Because the equipment lets phone companies increase network capacity without having to install new cables, the WDM market is expected to grow 60 percent annually to $10 billion by 2001. ''It's the direction that networks are headed in,'' said Esmerelda Silva, an analyst at Forrester Research Inc. in Cambridge, Massachusetts. Still, Ciena lost several major contracts during its most recent quarter, causing it to warn that fiscal third-quarter profit would be less than half of what analysts originally expected. The company is facing stiff competition from much larger rivals, including Lucent Technologies Inc., Alcatel SA of France and Pirelli SpA of Italy. Linthicum, Maryland-based Ciena's shares have fallen more than 75 percent since Tellabs' original bid to buy the company in June, valued at $7.1 billion at the time. That offer was revised to $4.7 billion in August, and the purchase was canceled on Sept. 14. 16:44:05 10/29/1998 Any redistribution of Bloomberg content, including by framing or similar means, is expressly prohibited without the prior written consent of Bloomberg L.P. Any reference to the material must be properly attributed to Bloomberg News. The information herein was obtained from sources which Bloomberg L.P. and its suppliers believe reliable, but they do not guarantee its accuracy. Neither the information, nor any opinion expressed, constitutes a solicitation of the purchase or sale of any securities or commodities.(C) Copyright 1998 Bloomberg L.P. BLOOMBERG, Bloomberg News, Bloomberg Financial Markets, Bloomberg Television, Bloomberg News Radio are trademarks, tradenames and service marks of Bloomberg L.P.

To: Sawtooth who wrote (4650)	10/29/1998 9:40:00 PM
From: TokyoMex	Respond to of 12623

This is the scenario,,, On big gaps ,, another gap follows next day ,, for 2/3 of the first gap ... then on 3rd day ,, it retrenches to close or slightly below the first gap close .. then on fourth day ,, it poppos and squeezes shortos .. R O F L M A O ,, Again ,, these are companies ,, who wants to be bought out ,, like ABTX ,, Like we are picking cheap broken down stocks , there are big companies looking for cheap broken down valuations ,, How about 1 share of TLAB for 2 shares of CIEN shares ,, and a fat bonus for officers of the CIEN ?