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Technology Stocks : Adaptec (ADPT) -- Ignore unavailable to you. Want to Upgrade?

To: David Mullins who wrote (3997)	10/30/1998 10:05:00 AM
From: OrionX	Respond to of 5944

David, I agree with you. As a long, I expected some support but not this high this fast. Maybe the stock buyback is totally responsible or maybe there is something else. Be careful.

To: David Mullins who wrote (3997)	10/30/1998 10:15:00 AM
From: Jim Switz	Respond to of 5944

Yes, I'm a little surprised that there wasn't a couple-point falloff right after the earnings report, but due to profit-taking not disappointment in quarterly performance. I'm sure the fairly large ($200M) stock buyback authorization has a lot to do with it also; whether they actually buy back that much is another question. But, in the CC, I got the impression in mgmt. statements that we can expect a significant bumpup in revenues in the current (Q3) quarter to about or slightly better than Q1's level of $180M. Back in Q1, the company earned $0.10 on that level of revenues - with the cost reductions since then, I'm thinking $0.15 in Q3. So, it's looking like the company is on the way back to better revenues and earnings with lower costs, and new products are coming. The market is likely seeing a better future as well. Look out for profit-taking downdrafts, though; we're up about 110% from the bottom just 3.5 weeks ago.

To: David Mullins who wrote (3997)	10/30/1998 11:27:00 AM
From: The Philosopher	Read Replies (1) \| Respond to of 5944

I hope what's going on is simply some confidence that Adaptec now has management that can accomplish what it says it will accomplish. Under Saviers, there were simply too many surprises, too many uncertainties. This management has gotten back to the core business, as they said they would, and they have beaten (even if only by 2 cents) the only earnings forecast since they came in. I don't know what else might be doing this, but I am one of many investors who consider management to be the most important part of any company, so if those investors see a competent management team in place they may consider that it's time to get in while the getting is good. Just my ramblings.