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Technology Stocks : CLST - CellStar Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Len who wrote (539)	11/15/1998 6:29:00 PM
From: Brian Lempel	Respond to of 641

Was the broker by any chance from Sands Brothers? I would never trust a cold calling broker anyway. If the institutions are coming in, then the price does not fall from over 8 to into the 6's. But the information is wrong. CELL has distribution rights for the phones to the gateway partners, as well as certain logistics and other services. They left CLST some scraps. I would suggest reading through past press releases of both CELL and CLST for more info. CELL, which got the bulk of the contract only expects it to contribute a cent to next quarter's earnings. Next year could go around .05 to .07. And keep in mind that CLST's part of the pie is much smaller, as they don't have the global footprint to deal with such a company as IRIDF. This is not to say that you shouldn't buy CLST on its own merits...it is a decent company to invest in. I hold CELL because of the higher margins, better definition, better management, and superior international positioning. But CLST has significant pop if it can get the SEC thing behind it and improve its global positioning as to avoid tariff issues, etc. And it still remains dependent on MOT, out of favor with the analyst community in general, and poorly managed. Hope this helps, Brian

To: Len who wrote (539)	11/15/1998 9:50:00 PM
From: John Soileau	Read Replies (1) \| Respond to of 641

"The institutional buyers are coming in" is a rough equivalent of "the check is in the mail", especially when you hear it from a broker. Another one is "european money is about to jump in". Run, don't walk, when you hear this s%&t. CLST might be interesting, but not for any reason you are hearing from a telephone broker. Good luck, do you own dd, don't believe anything said by a guy who lives off of a commission. regards John