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Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?


To: Doughboy who wrote (28733)3/4/1999 9:56:00 AM
From: BeachCrunc  Read Replies (1) | Respond to of 45548
 
3com market cap. is $9B, this would represent about 13% of company from market cap. perspective.



To: Doughboy who wrote (28733)3/4/1999 10:01:00 AM
From: Moonray  Read Replies (2) | Respond to of 45548
 
BNP's Blaich on Siemens' Possible U.S. Expansion: Comment

Frankfurt, March 4 (Bloomberg) -- Following are comments by Alexander
Blaich, an analyst at Banque Nationale de Paris in Frankfurt, on
reports Siemens AG is in talks to buy 3Com Corp.'s networking
equipment unit and is planning other U.S. purchases to boost its data
communications operations. He rates the stock a ''market performer''
''The U.S. expansion would fit in with the company's strategy. Last
year and the year before they concentrated on power plants and this
year and the following year it will be information and communications
technology. And the U.S. will be the focus because that's where the
potential lies.'' ''Siemens won't be taking over all of 3Com but maybe
they will buy a unit or other small companies. Buying a number of small
companies is a strategic move -- it helps to be involved in several
technical areas and to be part of the area that emerges as the winner.
That's better than putting several billion marks into one company.''

o~~~ O



To: Doughboy who wrote (28733)3/4/1999 5:06:00 PM
From: Tim McGee  Read Replies (1) | Respond to of 45548
 
I came up with essentially the same numbers last night when this came out.

This would make COMS a $35 stock based on a PE of 25 on this year's earnings. Future earnings would be discounted significantly.

Asssuming they can rid themselves of a few more parts (analog modem business), then we could see this multiple go higher and thus we have a chance to see 50 again sometime in the future.

Tim