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

To: blake_paterson who wrote (23645)	10/30/1998 5:51:00 PM
From: joe	Read Replies (2) \| Respond to of 45548

blake, Good questions. Keep asking them. Right now, I'm beat and still gotta go get some food. Generally though, I think we need to wait for Monday and Tuesday to see follow through. We're definitely edging up. One reason I like today, is becaue it really whipped the Naz. A few more days like this and we'll be starting to remember the old days. But first, let's digest today, and see the next couple of days. I know Steve thinks we make get upward surprises soon. Yup, always have to be ready for them. But, some consolition is in order. IMO, this is mainly true, because I still don't see the level of institutional money that we will see when COMS is at $60. Today, there were traders still hoping on. AND, I'LL BET YOU THERE WERE SHORTS. Some folks are still convinced that COMS will screw up this next quarter. >>What happens if the fed doesn't lower rates on 17 November?<< He has to. Credit problems is what he's worrying about, not the stock market or inflation. At this point hedge funds around the world have been whipped. The world economy is definitely in the upward trend now, IMO. So, it may not matter that much if rates aren't lowered, if by then HK market is up another 20%, ASIAN growth is finally visible to some degree, and the threat of devaluation is non-existant. >>post-preannouncement PE's << based on '99 earnings, I'd speculate 30-35%. That makes COMS worth around $41 - $48 assuming $1.35 '99 earnings. But, that $1.35 will be revised, and the 30-35% may be revised substantially by feb-march of '99. Of course the earnings rate going from '99 to '00 will be much higher than 30-35% because '99 earnings are too low. They were created assuming that COMS was going to be sick all year, IMO. ask me again about this blake, good stuff to review. joe

To: blake_paterson who wrote (23645)	10/31/1998 4:47:00 PM
From: mp	Read Replies (1) \| Respond to of 45548

Last time COMS opened gap up (on 10/8/98), it was at 28 and ran up to 35. It happened again on Friday and I think this one is going to take us to 45! My optimism is based on all the good stories that are coming out now as well as my feeling that COMS earning is going to be around 35c or better. That level of earnings will justify stock price of $45-$50! So next few weeks should be real interesting. I am long on COMS. My most optimistic scenario might take us to as high as $59 by the end of the year if COMS forecasts good sales for the next couple of quarters. Gap openings are almost always precursors of good things to come!