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Technology Stocks : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: Glenn McDougall who wrote (7576)	11/20/1998 10:24:00 AM
From: Doug	Read Replies (1) \| Respond to of 18016

Z.O:<<Industry analysts, however, say the rise in Newbridge's stock is due in large part to an increase in telecommunications companies' share values in general.>> My earlier posts were in conformity to this finding. NN has outrun itself here and a pull back to the 20 day ema is likely. Let us assume NN has won the $750m contract by itself. That contract is very likely to be spread out over a 2 year period or more. Thus the added sales for NN amount to $90m/quarter. This Company has to generate near $350m/quarter. So at the very best this would amount to 25% revenue. Whilst this is a good step , it cannot sustain a $8 move in price in one week. Traders should consider taking a few chips off the table.