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Technology Stocks : Maxtor (MXTR) -- Ignore unavailable to you. Want to Upgrade?

To: HoodBuilder who wrote (279)	5/24/1999 5:48:00 PM
From: chunmun	Respond to of 467

I doubt if they will be bought out by qntm. As for mxtr, its a volatile stock. I bought at 6.25 today and hopefully it will rise. Just about a month ago the stock was at 5 bucks, due to someone dumping an excessive amount of shares. The company is not bad to invest in, they had a good quarter and seem to execute well. If the Nas rebounds, it goes to 7-8 bucks a share, a decline in the NAS to 2300 points will send it south to around 5 bucks. THE p/e ratio for mxtr is low, a good sign. Also notice that the avg volume is 3 million shares yet on a bad day it only traded 1.4 million shares, another good sign. So why is this stock mishandled when its competitors are doing well you ask? Well MXTR carries a bad weight with them for dec 97 and earlier reporting quarter after quarter loss. I think this is a critical year for them, they must meet expectations each quarter to survive. If they fail to meet expectations at any point WATCH OUT, you may be looking at a real low value, my guess is 3 bucks (if they fail). Current expectations for this quarter are 3 cents, which I think they can achieve. Just my opion, take it for what its worth and HAPPY INVESTING!

To: HoodBuilder who wrote (279)	5/24/1999 5:54:00 PM
From: BRAVEHEART	Read Replies (2) \| Respond to of 467

Hi Michael, I am a biotech investor. Hence for me to travel outside my area of interest a stock has to be fairly attractive. Once the issue of Hyundai and his 24 million shares are delt with there will only be upside to this stock. Is it possible a major interest could desire to acquire a portion or all of MAXTOR. Certainly. Do I believe anyone would get away with buying out the company for $6 per share. No way. Do I see much fundamental or technical downside based on what the market knows or projects. Certainly not. Thus what remains is unknown market risks. I cannot think of any which would jepordize my investment here for the next six months. New products are rolling out. Things should only get better over a six month period outside of maybe a few brief potential down tics. I wish I could answer your question based on this sectors expectations. However it stands to reason that upside potential far outweighs the downside risks at this time. BEST WISHES Jeffrey

To: HoodBuilder who wrote (279)	5/24/1999 8:06:00 PM
From: Sam	Read Replies (1) \| Respond to of 467

Michael, There has been some wishful thinking by a few people on the QNTM and the Disk Drive threads that QNTM buy MXTR, both to shore up their own desktop offerings and to help the sector consolidate, something that all of the remaining players would greatly benefit from. However, the last time there was a major consolidation in this sector--Seagate took over Conner Peripherals back in 1994 or so--everyone but Seagate was greatly aided. Seagate wasn't exactly damaged by it, they were modestly helped in a few ways--in their software division, their media production, and in their tape offerings--but there was a fair bit of overlap in drives between the companies, and their common customers wanted more second sourcing of supply, which lead to both WDC and QNTM gaining a lot of share at the time, with SEG/CNR actually losing some market share. So with that backdrop, my guess is that while many DD vendors in the sector would like to see either a merger or a bankruptcy for consolidation purposes, they would prefer that their own company not be involved in either. Furthermore, QNTM is in the process of taking over another company right now, and it is doubtful that they would do two acquisitions at once, especially one as large as MXTR would be. Also, they have been diversifying out of drives, so a drive acquisition is unlikely on that score as well. All that said, I would certainly be interested in seeing what your friend has, if you or he could make it public, or send me something in a PM. Once QNTM has split its stock into two tracking stocks with two sets of books (which should occur in the next month or two)--the drive and the tape business--a merger between the two may make a little more sense, although perhaps it would be the other way around, with MXTR taking over QNTM's drive business, getting QNTM out of the sector altogether. Regards, Sam