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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: michael modeme who wrote (56909)	11/6/1998 10:53:00 PM
From: shane hartman	Read Replies (2) \| Respond to of 61433

michael, thanks for catching my mistake. And I also believe the "premium" is no premium if you look at internet growth and assume that asnd continues to track it.

To: michael modeme who wrote (56909)	11/7/1998 11:04:00 AM
From: Chuzzlewit	Read Replies (2) \| Respond to of 61433

Michael, your analysis is skewed because you are assuming that you must remain in the stock for a fixed period of time. For example, if LU were to buy ASND on Monday for $69 you could sell LU shares and immediately reinvest the cash in other growth opportunities provided that they yielded at least 26.5% (which is the growth required for the remaining five years to equal your target figure). There are plenty of companies that meet that requirement. Other than tax considerations, I can think of no reason to hold a stock for a fixed period of time. Anytime you can receive greater than market value for the stock the difference represents a real premium. TTFN, CTC