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Technology Stocks : PSFT - Fiscal 1998 - Discussion for the next year -- Ignore unavailable to you. Want to Upgrade?

To: Lizzie Tudor who wrote (3948)	12/21/1998 11:35:00 PM
From: Dinesh	Read Replies (1) \| Respond to of 4509

Michelle Thanks for the pointers. I looked at some recent history of ITWO and MANU, and also PSFT. And their recent 10Q filings. A common thread - services revs rising faster than products. Sign of gray hairs ??? Peoplesoft seemed like a mixed bag. A horrendous pricing pressure from SAP; more "gray hair" than anybody else; tons of wannabe gorillas in every market. AND they don't see growth rates > 25% range. That should be exciting for GE but not for PSFT. MANU seemed to have no direction. They bot Tyecin which is more into semis. Does it mean they want to be more into the early part of SCM ? Seemed very specialized. I2 looks more promising. It too shows higher service rev growth, but only slightly. So far its on the up cycle. So, as an investor I don't fancy PSFT too much. Ability to execute is key when the portfolio is diverse and I don't see a demo. MANU may be a good play but I wouldn't know. It seemed like it was still groping for a direction. ITWO looks good but the multiple seems too high for a business that is becoming more and more reliant on partners that could turn into competitors anyday. Particularly, likes of Oracle. But the product to service mix is nice, the direction is nice. How is their management ? I tend to think that WMS will be a very interesting market for the next few years. Are there are also any plays on warehousing hardware ? Regards Dinesh