| T.R | Title | User | Personal
Name | Date | Lines |
|---|
| 1050.1 | | 2155::michaud | Jeff Michaud - ObjectBroker | Mon Jan 27 1997 14:53 | 9 |
| > Cascade Communications at ~$39+ may be a good long term buy.
You forgot to mention the reason for the 33%+ drop in the stock
last week after they released their Q report. The reason was
due to a slowdown in sales of one of their products, that the
analysts fear will impact future earnings.
Without knowing more details on that, it's impossible to offer
an opinion.....
|
| 1050.2 | damn the analysts! | ALFSS2::BEKELE_D | When indoubt THINK! | Mon Jan 27 1997 15:46 | 14 |
| Jeff,
I think their major problem in the Q report was DSO and that may be
explained by late shipments with generous terms. You may wish to
listen to the conference (800-839-1380) call with analysts where they
stated that they are comfortable with 50% growth. Their new product
(CBX500 ATM switch) has 20% of revenue in just 2qrts after first ship.
This is a good company with excellent managerial and technical talent.
I think this is a screaming buy at this price and I am in and if it goes
down I will be loading up even some more.
Dan
|
| 1050.3 | | 2155::michaud | Jeff Michaud - ObjectBroker | Mon Jan 27 1997 16:16 | 14 |
| > This is a good company with excellent managerial and technical talent.
> I think this is a screaming buy at this price and I am in and if it goes
> down I will be loading up even some more.
You may get your chance, it's still dropping. The P/E's a bit high.
Quite a spread on that 52 week trading range.
Symbol: CSCC (CASCADE COMMUN CP)
Last Trade: 38, Change -3 (-7.32%) at Jan 27 3:53:58
Bid & Ask: 38 & 38 1/8 (spread 1/8)
Low & High: 37 7/8 & 42 (spread 4 1/8)
52 Week Low & High: 24 3/8 & 91 1/4 (spread 66 7/8)
Volume/# of Trades: 6296900 / 9612 (655 shares/trade)
P/E: 56.90, EPS: 0.72, Market Cap: 5589.00, Beta: 1.17, EPS Growth: -99.90
|
| 1050.4 | | PCBUOA::KRATZ | | Mon Jan 27 1997 17:03 | 3 |
| No dead cat bounce... traded lower all day long. I would take that
as an implication it has more to go (fundamentals aside for the
moment). K
|
| 1050.5 | CSCC still holding | ALFSS2::BEKELE_D | When indoubt THINK! | Thu Jan 30 1997 09:59 | 4 |
| Positive article in today's WSJ on oversold condition of network
companies.
dan
|
| 1050.6 | | LJSRV2::JC | Where's the snow? | Thu Jan 30 1997 15:01 | 5 |
| I hear that morale at CSCC is not that great right now because of the
stock price. they (CSCC) have leverage many of their employees with
stock options, which are not waaaaaaaaay under water for a lot of people.
those techies may get nervious and bale out of CSCC looking for the
next network high-flyer.
|
| 1050.7 | dropping like a rock... | PCBUOA::KRATZ | | Fri Feb 14 1997 15:46 | 2 |
| Well, if it was a good long term buy at 40, it's an even better
one after dropping another 20% (hit a new 52 week low at 32 today).
|
| 1050.8 | Why is CSCC stock price stalled ??? | CSCMA::BALICH | | Thu Apr 03 1997 14:52 | 13 |
|
Folks,
What the deal with CSCC merging with Ascend ... They buyout price
of 36.40 of CSCC by Ascend is a premium BUT CSCC stock is still
trading WAY under that price 3 days after the proposed merger.
My question is WHY ? Isn't buying CSCC at current ~ 28 a sure
win if its going to be bought out at 36.40/share ??
Am I missing something here ? Please explain!
|
| 1050.9 | The .7 ratio is the invariant, not the price/sh | SMURF::STRANGE | Steve Strange, UNIX Filesystems | Thu Apr 03 1997 15:00 | 10 |
| re: .8
The terms of the buyout state that CSCC holders will get .7 shares of ASND
per share of CSCC. At the time the buyout was announced, ASND was
around $51, but it dropped on Monday to about $40. So the 36.40 figure
you saw was probably based on the .7 ratio and ASND's price on Sunday.
Now that ASND is worth less, so is CSCC because the ratio essentially
places the prices in lock-step.
Steve
|
| 1050.10 | | PCBUOA::KRATZ | | Thu Apr 03 1997 15:11 | 4 |
| It went from a $3.7 billion deal Monday morning to a $2.9
billion deal by that evening. I can't imagine CSCC shareholders
are pleased... it was 28 1/4 on the close Thursday (the last
trade before the takeover), and it's still below that. K
|
| 1050.11 | | CSCMA::BALICH | | Thu Apr 03 1997 15:36 | 6 |
|
re .last few
If the price went from $3.7 to $2.9 at days end ... The buyout price
was $36.40 at $3.7 billion, then at $2.9 billion what the buyout price
now .. under $30/share ??
|
| 1050.12 | eating my words | ALFSS2::BEKELE_D | When indoubt THINK! | Thu Apr 03 1997 16:44 | 24 |
| re -.1
As stated previously, the buyout remains constant at 7/10 share of
ASND stock for each CSCC share regardless of the price of ASND.
Aside from that the price of CSCC would be in the teens if this
buy-out was not announced just before CSCC came out with a disasters
quarter.
re -.2
> I can't imagine CSCC shareholders are pleased...
You can say that again! I saw an analysts on CNBC (confirmed by others
who were privy to the real story) who stated that Cascade was telling
one thing to a select number of analysts about the problem they were facing
while telling the rest of us that everything was as peachy as they could
be! I said the following in .2
> This is a good company with excellent managerial and technical talent.
This may still be true but management seems to have little to no integrity
with me!
Dan
|
| 1050.13 | | LASSIE::IMMI | | Fri Apr 04 1997 12:38 | 23 |
| Well lets get our story straight. At the time of the merger CSCC also
annouced an earnings warning. That is the primary reason for the
plunge. Reason "lumpiness" in sales from the RBOC's. If not for the
merger CSCC would have tanked to the low 20's.
Yup, there was a story in fortune magazine about CSCC telling a
select band of analy'sts regarding the earnings slowdow. Alger funds
even threatened to sue. CSCC denined the story.
I have been piling up on CSCC 53,41,32,28,24, with and avg price of
about 32... I would have been in the plus with the buyout value of
$36 per share...
The merger diliutes ascends earnings by .05cents for fiscal 1997,
hence ascends drop as it paid a 28% premium for CSCC...
Anyway, this merger is built on synergies and hopefully will chew
up CISCO's market share. Time will tell. I have been wrong before, but
I am gung-ho on this one...
The story seems to have changed on wall street. ASND is up to 46
now, and CSCC at 30... Intresting, how long it took for people to
realise that long term this is a "marriage made in heaven"...
Regards Immi
|
| 1050.14 | will it pass fed's muster | PCBUOA::KRATZ | | Fri Apr 04 1997 14:47 | 4 |
| There's also the possibility that the feds don't let the merger go
thru... which would probably leave CSCC to tank anyhow. ASND + CSCC
owns a lot of market share in certain categories of WAN giblets.
.02 K
|