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STOCKS TO WATCH: J.D. Edwards, Natural MicroSystems, DoubleClick and 3Com

3 min read

Expect the following technology stocks to be among Tuesday's most actively traded issues: DoubleClick, Excite@Home, J.D. Edwards, Natural MicroSystems, Remec and 3Com.

  • DoubleClick (Nasdaq: DCLK)

    According to published reports, DoubleClick will lay off between 100 and 150 employees across its division.

    The layoffs would be the first for DoubleClick, which has struggled as online advertising growth has slowed.

    The company presents Tuesday morning at the UBS Warburg media conference in New York City.

  • Excite@Home (Nasdaq: ATHM)

    Excite@Home and UnitedGlobalCom, a European cable operator, Monday scrapped a proposed deal to merge their international Internet assets to create a new broadband company, Excite Chello.

    Both companies cited "market conditions."

  • J.D. Edwards (Nasdaq: JDEC)

    J.D. Edwards will be active Tuesday after it earned $12.3 million, or 11 cents a share, on sales of $277.2 million, beating the Street estimate by 3 cents a share.

    Its shares closed off $1.50 to $24.63 ahead of the earnings report.

    Licensing sales improved 36 percent in the quarter to $137.4 million with more than half of those sales coming from supply-chain software.

    Including a variety of charges, J.D. Edwards pocketed $9.7 million, or 8 cents a share, in the quarter.

  • Natural MicroSystems (Nasdaq: NMSS)

    The network-equipment could move lower Tuesday after it warned that its fourth-quarter sales and earnings will miss analysts' forecasts.

    Company officials said a slowdown in some sectors of the telecom industry and the deferment of other orders into fiscal 2001 caused the shortfall.

    It now expects to earn between 6 cents a share to 8 cents a share, well below the First Call Corp. consensus estimate of 12 cents a share in the quarter.

    Its shares closed off $1.94 to $18.75 ahead of the warning but fell to $12 a share in after-hours trading.

    Sales are expected to be flat with the third quarter, around $40 million.

    CEO Bob Schechter said the company is also lowering its sales estimates for fiscal 2001 from 60 percent to 70 percent growth to a more realistic gain of 40 percent to 50 percent.

  • Remec (Nasdaq: REMC)

    Remec gave its investors some good news Monday when it topped analysts' estimates in its third quarter, earning $5 million, or 11 cents a share, on sales of $78.8 million.

    First Call Corp. consensus expected the maker of high frequency subsystems used in the transmission of voice, video and data traffic over wireless communications networks to earn 10 cents a share in the quarter.

    Separately, the company announced that Nicholas Randall, an executive vice president, will join its board of directors in place of Joseph Lee.

    Its shares inched up 13 cents to $15.94.

  • 3Com (Nasdaq: COMS)

    This one will be worth watching after it told investors to expect a wider-than-expected loss in its second quarter primarily because its major telecom customers cut back orders and smaller customers either went broke or merged with other firms.

    The network-equipment maker said it now expects to lose between 19 cents to 23 cents a share, much worse than the First Call Corp. consensus estimate of 8 cents a share.

    It now sees sales coming in between $785 million to $800 million, also below its own guidance of between $870 million to $910 million.

    Its shares closed up 44 cents to $13.38 ahead of the warning but fell below $9 a share in after-hours trading.