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

To: joe who wrote (23619)	10/30/1998 1:48:00 PM
From: Wigglesworth	Respond to of 45548

Montgomery Names 3Com Top Pick In Networking Group Dow Jones Newswires NEW YORK -- Shares of 3Com Corp. (COMS) were up more than 6% after NationsBanc Montgomery Securities Inc. analyst Al Tobia reiterated his buy rating on the stock, calling it his "most timely recommendation." In a research note, the analyst said recent distribution channel checks indicate the data networking company is seeing the first pickup in sales of systems products through the distribution channel in more than a year. This is significant since bloated inventories had plagued 3Com in the channel through the first half of the year. The company had slowed production to bring inventory levels down. Tobia said 3Com's outlook is also improving because the company's fiscal second quarter, which ends in November, tends to be a seasonally strong one for modem sales. Sales of 3Com's new v.90 modems, which can transmit data at 56 kilobits per second, were sluggish earlier in the year, even after the adoption of an industrywide standard for 56K modems in February. Since the inflated inventory levels hurt 3Com's revenue over much of the past year, the company should be up against easy year-over-year revenue and earnings comparisons in the second quarter, Tobia noted. The analyst projects 3Com will report earnings of 33 cents a share on $1.53 billion in revenue for the period, up from 1 cent on $1.2 billion a year earlier. 3Com's operating margins should also continue to improve, Tobia believes, as operating expenses as a percentage of sales decline. Finally, Tobia said 3Com should benefit from the emerging market for networks in the home - a market that he believes will grow to about $4 billion by 2002 - and ongoing strong demand for PCs. 3Com's shares were recently up 2 1/8, or 6.2%, at 36 7/16 on Nasdaq volume of 9.7 million, compared with a daily average of 7.7 million. - Joelle Tessler; 201-938-5285

To: joe who wrote (23619)	10/30/1998 2:01:00 PM
From: Steve Porter	Respond to of 45548

Joe, HEY!!!! Just a few days, you'all we're talking about buying back in the 20's. Yes and while we were talking about that range I was mentioning how well COMS is moving through the channel. This was inevitable and we all knew it, it was just a matter of making smart trades until it did. Soon, though, the institutions will not be able to hide their moves very well, especially when more institutions jump on the bandwagon. Then, mo-mo's traders, CSCO money, etc.. will pile up on COMS. But, I think we need a few more months, unless COMS speeds up the process. Maybe business is even better than our wildest dreams<VBG> (just teasing you; calm down now son) First of all, my wildest dreams don't include COMS <VBG>.. second of all, COMS is turning into a HOLD stock, rather than a TRADE stock. (again). btw...if business is good in COMS, you know they are only giving us 1/2 the story. They're holding back. It's in their interest to stretch it out so they can start a sequential 18 straight perfect quarters like DELL and CSCO...they have to be patient, just like us. Joe if COMS preannounces that estimates are a dime too low, this probably means that they are 20 cents too low. I am well aware of how the game is played. MSFT is excellent at it and look at their stock price. Steve