Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Datastream Systems, Inc. (Nasdaq: DSTM) -- Ignore unavailable to you. Want to Upgrade?

To: M. Carver who wrote (552)	2/4/1999 7:26:00 PM
From: Owen Vaughan	Read Replies (2) \| Respond to of 721

"Great job" and/or "Great Quarter guys" I heard this last week on a cc. since then the stock has gone from 70 to 50 - and they met estimates. I think the analysts say this so they ingratiate themselves towards management to keep access to mgt. Its like the lawyers after a trial telling each other what a great job they did

To: M. Carver who wrote (552)	2/4/1999 11:58:00 PM
From: zook2	Read Replies (1) \| Respond to of 721

Thanks I missed the call. A little stress at work. I looked at the numbers and based on my expectations they were solid (not great) but solid. The two things I was looking for was growth in software sales and resolution of overseas distribution issues. If we had another flat to down quarter I would be very concerned. The y over y software comparisons were adaquate. The DSO issue is part of the whole restructrue issue. The overseas channel was not efficient and a drag on the company. Word was that they were going to make some necessary changes to streamline that effort and the one time charge indicates that they have moved in that direction. Question. Was the software product mix good. Were all products sequentially up or was one area the driver? A prior post has the margin break outs. These were generally in line with expectations and the numbers support a move to lower margin mix with very strong growth in the service business, however the growth rate with a lower margin mix is predictable and built into my model. My two cents. The quarter was fine. The enviornment is hostile for ERP and CMMS software companies but were not trading at 50 time next years earnings. They can beat the pulp out of you at those levels but at ten times earnings they have to be very vindictive to take you out and shoot you again. My guess is baring continued tech meltdown, the trend is generally up. Maybe not tommorrow but the 16 to 19 range is closer to the current value of the company . No 27 predictions but as a value play the stock is of interest at 10.