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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Uncle Frank who wrote (19473)	11/22/1998 12:12:00 AM
From: Scott Kleinhans	Respond to of 77400

briefing.com Cisco Systems (CSCO) is the largest supplier of high-end internetworking products for linking LAN and WAN of computer systems. As Microsoft has proven in the software industry and as Intel has shown in the chip industry, bigger is better in the technology sector. While the struggle for market share in the fast growing networking sector is certain to claim a fatality or two, Cisco won't be among them. To the contrary, the company's strong financial position, broad product range, aggressive acquisition strategy and proven management positions the company to be a leader for years to come. Nevertheless, with increased competition inevitably comes slower growth rates. But we're not talking Coca-Cola slow, we're talking about year over year earnings growth for Cisco slowing down to the 30%-25% range. That rate is still 3-4x faster than the growth rate projected for the S&P 500 over the same period. Relatively dynamic long-term growth prospects for networking products, combined with Cisco's status as the group's dominant player, suggest that the stock is a core technology holding and an ideal candidate for growth investors seeking above average capital appreciation. Company recently reported another stellar quarter, posting a gain of $0.34 (+31%) on a sharp rise in revenues. Product pipeline strong and demand robust. Even so, CSCO downplayed future expectations due to Y2K and Asian economic weakness. More managing expectations than real problems. Break of 70 1/8 will position CSCO for 12-mo run at 85.