In my humble opinion, Lucent has very limited upside. LU had a nice pop last Friday with heavy volume, but that was because Lucent confirmed that it was in talks to be acquired by Alcatel. There is no evidence of sustained investor interest in Lucent. fficeffice\" /> I don’t read charts when I analyze stocks. Rather, I look at the fundamentals of the companies. Lucent’s fundamentals are week. It does have a fairly strong optical division, and its CDMA infrastructure business is doing well thanks to multi-billion dollar contracts from Verizon Wireless and Sprint. But Lucent is weak in data network products, and it is not a factor in the increasingly important broadband access market. Overall, LU has little top line growth. I personally would not hold that stock for a year. It’s likely that Lucent will not be an independent company in a year. |