Boring Portfolio

Of BPX, MGX and TCBY
Monday, June 1, 1998
by Greg Markus
(TMFBoring@aol.com)

ANN ARBOR, Mich. (June 1, 1998) -- Late-session bargain-hunting pushed the S&P 500 nominally higher Monday, but the majority of U.S. stocks started the month of June on a down note. Technology issues were particularly hard hit, as weakness in chips and Internet stocks sent the Nasdaq tumbling 1.80%.

Hurt by a $1 15/16 loss in shares of Cisco Systems (Nasdaq: CSCO), the Boring Portfolio fell 0.59% in value.

Cisco's stock retreated despite an announcement from the company introducing four carrier-class ATM devices for the WAN. The new products, which incorporate Cisco's "tag switching" technology, are designed to integrate ATM and Internet Protocol (IP) service.

The high-end BPX 8650 IP+ATM switch is available now and lists for $80,000. The BPX 8680 universal service node will be available later this year, starting at a cool $100K. The other two products are the MGX 8800 wide-area edge switch and the Cisco TGX 8750 optical core switch.

On the upside, shares of Borders Group (NYSE: BGP) gained $1/4 to $31 1/4 following the annual meeting of the 3,500-member American Booksellers Association in Chicago over the weekend. FelCor Suite Hotels (NYSE: FCH) gained $1/16 to $34 1/2.

TCBY (NYSE: TBY) stock eased $1/16 to $9 5/8 in light trading. The company will report results for its May quarter in about two weeks.

As best as I can determine, only two analysts follow TCBY. One is looking for earnings of $0.14 per share for the quarter and the other forecasts $0.15. The company earned $0.13 per share in the same period a year ago.

With such light coverage by the Street, TCBY doesn't hold a conference call after its earnings report, but a spokesman for the company said she would be pleased to field any questions I might have following the release of the news. If you've got any questions you'd like me to pass along, please drop me a note.

I spotted a TCBY at San Francisco airport as I changed planes there Sunday, returning home from a week in Australia. Alas, it wasn't quite 9 a.m. and the store was closed. As you may recall, TCBY is focusing on opening outlets in so-called nontraditional outlets such as airport terminals, highway plazas, service stations, and shopping malls. I plan to keep my eyes out for them and sample as many as possible this summer.

All in the name of investment research, of course.

FoolWatch -- It's what's going on at the Fool today.


TODAY'S NUMBERS
Stock  Change    Bid 
 ANDW  -  1/16  21.88 
 CGO   -  1/2   34.88 
 BGP   +  1/4   31.25 
 CSL   -  1/8   48.25 
 CSCO  -1 15/16 73.56 
 FCH   +  1/16  34.50 
 PNR   -  5/8   43.25 
 TBY   -  1/16  9.63 
 
                   Day   Month    Year  History 
         BORING   -0.59%  -0.59%   0.60%  26.59% 
         S&P:     +0.01%   0.01%  12.42%  75.51% 
         NASDAQ:  -1.80%  -1.80%  11.24%  67.81% 
  
     Rec'd   #  Security     In At       Now    Change 
   2/28/96  400 Borders Gr    11.26     31.25   177.62% 
   6/26/96  150 Cisco Syst    35.93     73.56   104.72% 
   8/13/96  200 Carlisle C    26.32     48.25    83.29% 
    3/5/97  150 Atlas Air     23.06     34.88    51.25% 
   4/14/98  100 Pentair       43.74     43.25    -1.13% 
   5/20/98  400 TCBY Enter    10.05      9.63    -4.18% 
   11/6/97  200 FelCor Sui    37.59     34.50    -8.22% 
   1/21/98  200 Andrew Cor    26.09     21.88   -16.16% 
  
     Rec'd   #  Security     In At     Value    Change 
   2/28/96  400 Borders Gr  4502.49  12500.00  $7997.51 
   6/26/96  150 Cisco Syst  5389.99  11034.38  $5644.39 
   8/13/96  200 Carlisle C  5264.99   9650.00  $4385.01 
    3/5/97  150 Atlas Air   3458.74   5231.25  $1772.51 
   4/14/98  100 Pentair     4374.25   4325.00   -$49.25 
   5/20/98  400 TCBY Enter  4018.00   3850.00  -$168.00 
   11/6/97  200 FelCor Sui  7518.00   6900.00  -$618.00 
   1/21/98  200 Andrew Cor  5218.00   4375.00  -$843.00 
  
                              CASH   $5429.76 
                             TOTAL  $63295.39