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Technology Stocks : Inference Corporation--Growing 100% and still inexpensive -- Ignore unavailable to you. Want to Upgrade?

To: Sethpop who wrote (987)	11/17/1998 8:39:00 PM
From: 45bday	Read Replies (1) \| Respond to of 1246

Also enjoyed the CC. I don't see this propelling the stock to any great heights near term, but think we should now move into a higher trading range with good prospects for the future. I'll be curious if we see some increased volume tomorrow as an indications as to whether anyone who can really move this is interested. Sure looks better than 2 1/2 or wherever we were a few months ago.

To: Sethpop who wrote (987)	11/17/1998 9:16:00 PM
From: Adam Smith	Read Replies (1) \| Respond to of 1246

Seth The quarter, call and numbers looked very good. I think we'll see new investors come into the stock. With 6.9MM shares doesn't take too much extra license rev. to change EPS and new estimates. Seems like Jepson has a ws plan to get the story out. Since this is a tech value play AND Internet story I think we'll see the stock go to new highs. I've been trying to do some valuation analysis here and can model .30 EPS on 25% increased revenue and a 30times multiple PLUS cash of $3.50. So in a quarter or two I could see a 12 bucks share price. Did you used to be with Broadview?? Remember your name there. Adam

To: Sethpop who wrote (987)	11/18/1998 8:39:00 AM
From: Mike Healy	Respond to of 1246

Seth, the prepayment by one of their customers led to lower receivables, but not higher revenues. The revenues would have been booked anyway so there should be no impression that they pulled revenues forward. Actually, I dont really buy the explanation that a customer prepaid (certainly not a large customer anyway). Thats pretty rare. Rather, I would guess that receivables are down because they delayed booking some revenue (ie. we have a little extra...lets save some for next qtr). Mgmt of course would never acknowledge managing/smoothing results in this way. Also...for anyone concerned that the slight reduction in the deferred revenue liability (despite higher revenue) somehow implies a bit of weakness in earnings quality...I would point out that deferred revenues are more closely tied to the service business, which was lower. Given the decline in the service business I would have expected a much lower deferred revenue liability...so I think they may have saved some revenues for next quarter in the service area as well. All this, of course, is consistent with booking the restructuring charge above the line... The quarter was a bit better than it appears.