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 : Wind River going up, up, up! -- Ignore unavailable to you. Want to Upgrade?

To: w2j2 who wrote (4252)	2/9/1999 12:56:00 PM
From: Logain Ablar	Read Replies (2) \| Respond to of 10309

Hi Walter: You have it right but I'd like to add my view. It appears the CFO, Dick Kraber, was talking with the Lehman analyst (companies do this all the time, I initially thought the CFO had sopken with a group of analysts and prewarned, but that was not the case). While no one knows the exact conversation it appears he indicated to the analyst the 37 to 39 million in sales. Nothing new there, that is what WIND has been guiding the street to expect. Unfortunately the street had anticipated some I2O revenues to start showing up (this looks like it is still at least 2 quarters away). The analyst let the word out that WIND would not meet his forecast (the wisper being higher than the official forecast, remember the steet was initially led to believe the revenues would start to appear in last years 3rd quarter) and the stock dropped the $17 in about 15 minutes. The company issued its formal press release after the market closed and H&Q downgraded on Monday. With all the shares traded it appears the mutual funds have reallocated funds else where. We've got a couple of quarters (at the least) before the stock recovers. Remember the balance sheet of this company. Even with the drop I'm quite comfortable with my share holdings. I'll stay comfortable until I see MSFT or another competitor start to make inroads on WINDS market share. Tim PS - If anyone wants to know the deferred revenue WIND has it right on the quarterly statement. They don't hide the # (and the balance only represents appx. 50% of WINDs quarerly revenue figure).