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 : PairGain Technologies -- Ignore unavailable to you. Want to Upgrade?

To: Doug Bean who wrote (29001)	3/4/1999 11:07:00 AM
From: Chicago	Read Replies (1) \| Respond to of 36349

To All: Since we are just sitting here waiting for PAIR to pop, I thought I would share some excerpts from a Feb 27th S&P report on Pairgain... PairGain Technologies Nasdaq Symbol PAIR STOCK REPORTS Overview - 05-FEB-99 PairGain has benefited from strong demand from end-users for higher bandwidth services for applications such as Internet access and telecommuting. New products and technologies, such as the PG-Flex and Asymmetric Digital Subscriber Line (ADSL), should help PAIR to capitalize on the increasing demand telephone companies are experiencing for additional access lines in residences and small businesses. Although unit shipments have been strong, pricing pressure has negatively impacted both sales and gross margins. We now expect sales to fall modestly in 1999, as the positive impact of new products will be offset by continuing pricing pressure and the loss of a major customer. Operating expenses are also likely to be higher as a percentage of sales. Our EPS estimate for 1999 is $0.40, a 27% decline over operating earnings in 1998. Valuation - 05-FEB-99 The shares have performed well thus far in 1999, as fourth quarter earnings were in line with previously lowered expectations. Investors' remain hopeful that new products will help to boost the company's future prospects. In particular, PAIR's new Avidia System, currently in customer trials, could have a large impact in 1999. Avidia allows service providers to deploy multiple ATM and IP-based services from a single platform. However, PAIR's core High-Bit Rate Digital Subscriber Line (HDSL) business continues to experience substantial pricing pressure. PAIR has nearly $3 a share in cash and investments, and the company will likely use this cash to either acquire a complementary company or continue to buyback its own shares. In the fourth quarter, PAIR repurchased one million of outstanding common shares. With earnings expected to fall in 1999, we continue to view the shares as fairly valued. No cash dividends have been paid. This report is for information purposes and should not be considered a solicitation to buy or sell any security.

To: Doug Bean who wrote (29001)	3/4/1999 11:09:00 AM
From: Jay Mowery	Read Replies (1) \| Respond to of 36349

Hey Doug, <<<<where to be while you wait ,, MCLD!!! up 2 /38 again today.>>> I hear ya buddy and appreciate the suggestion? But to get to MCLD? Fitst I'd have to make a stop at the bank! Heavily Armed! And REQUEST a No payback loan????? Which would probably result in me makin' another stop at a place called "Stark Correctional"!!! Which means, if PAIR does run with in the next 2 to 10 years or even 6 to 9 months? Which I think it might? I wouldn't be able to take my gains unless I called my broker "Collect" or rather on his (800) # from the prison! So I think I'll pass buddy! But I do appreciate the idea! Your buddy, Jay