Adobe Systems flouts conventional wisdom, drawing fans despite woes to its customers
Article Abstract:
Despite intense price competition and other problems in the microcomputer industry, investors view Mountain View, CA-based Adobe Systems Inc stock very favorably. Adobe stock has jumped from 25.25 earlier in 1991 to 53 on Oct 31. Stock price is a very high at about 22 times the per share earnings for the past 12 months and seven times the net worth per share, or book value. Some investors predict that Adobe stock will fall, and give three warning signs: receivables are up from $35.6 million in May to $43.8 million on Aug 30; sales have been relatively flat, ranging from $53 million to $57 million for the past four quarters; and insiders have been selling shares. Adobe CFO Bruce Nakao dismisses concerns, pointing out that some receivables are from such industry heavyweights as IBM and HP. Adobe makes software that enhances the performance of computer printers, most notably PostScript.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1991
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Apple's dispute with Microsoft, HP creeps forward
Article Abstract:
US District Judge Vaughn Walker turned down claims against Apple Computer Inc brought to the court by Microsoft Corp and HP, and set a schedule that could begin to bring a three-year-old copyright case case to a close. Apple's law suit claims that Microsoft and HP have copied the 'look and feel' of the Apple Macintosh's visual display. Judge Walker has dismissed a countersuit by Microsoft accusing Apple of violating a 1985 agreement by bringing its suit, and the judge has stayed charges by HP that Apple is trying to monopolize the market. Judge Walker has set Jan 31, 1991 as a deadline for legal discovery. Microsoft and HP are expected to raise various 'major motions' before that time.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1991
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Comment about this article or add new information about this topic:
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