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Technology Stocks : Corel Corp. -- Ignore unavailable to you. Want to Upgrade?

To: VerificateASAP who wrote (6073)	1/22/1999 9:34:00 AM
From: bcoch	Read Replies (1) \| Respond to of 9798

Friday Morning initial bid /ask $ 6.50 with the sell side swamping the buy side ottawacitizen.com

To: VerificateASAP who wrote (6073)	1/28/1999 11:00:00 AM
From: warren_buffet_a	Read Replies (1) \| Respond to of 9798

The close on Corel seems odd? It should be way off due to the fundamentals. Half of COSFF revenue comes from Graphics software which is encountering significant competition. MFST PhotoDraw 2000, released in Oct 98, is eating away at their low end customer base (note: MSFT sells their product for $130 but includes a $30 rebate for CorelDraw users - I wonder who they're targeting?). At the high end, Adobe has a)cut their price point in the retail channel and b)will soon release their K2 product that the entire industry is awaiting (true competition for Corel Ventura and Quark express). Check the latest #s from PC Data - they indicate that both COS & Macromedia are losing real market share in the last quarter to Adobe Illustrator. The othe half of COSFF sales to the Office market will not decline, but will have a hard time increasing. The WP presence in the legal & gov't market is slowing and Y2K may accelerate this decline. The outlook for revenue growth is bleak and with no new product introductions a profitable Q1 will be difficult. The company has done a good job cutting cost but the best is over. In my opinion a low mult of sales and low mult of questionable earnings is warranted. I thought the price was right back in August.