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Technology Stocks : Qlogic ( QLGC ), Right time to BUY ? -- Ignore unavailable to you. Want to Upgrade?

To: Ted The Technician who wrote (295)	3/22/1999 1:48:00 PM
From: Ted The Technician	Respond to of 519

Interview with Ashok Kumar moneycentral.msn.com You follow the fiber-channel suppliers. What would you be buying there? The storage area in the network market is one of the great opportunities. Storage area networks are essentially storage farms that are connected by fiber channel links to servers, and one of the key building block suppliers is QLogic (QLGC). I think they're positioned very well and have done great flagship designs for Sun (SUNW), IBM and Dell. We think the stock has a 20% to 30% upside from current levels. We also like Emulex (EMLX). Emulex is what you would consider a smaller-cap stock. It has a market cap of $300 million. Small caps are still unconvincing in this market. What do you like about that company? They also supply fiber-channel building blocks. Specifically, they are vendors who provide their building blocks to anybody who wants to participate in the fiber-channel market as opposed to captive players who just supply and do their own solutions. Support vendors QLogic and Emulex are the only commercial vendors in the fiber-channel space. They should both do well as this segment grows rapidly. We think that Emulex also has a 20% to 30% upside from current levels.