Enron Corp. - University of California | Office of The President

• ... Enron Broadband Services ... holds potential to double the size of the
company within the next few years .... ENE announced that it entered into
a 20-year agreement to provide video on demand through ENE's broadband
delivery platform.... This venture provides credibility to ENE's broadband
technology and strategy, in our opinion....
• ... We reiterate our Strong Buy opinion ....
256. On 9/15/00, JP Morgan issued a report on Enron. It rated Enron a "Buy," increased
its target price to $115 and increased Enron's forecasted 00, 01 and 02 EPS of $1.41, $1.69 and
$2.00. It also stated:
We are raising our estimates and target price for Enron based on excellent
continued fundamentals moving forward into 2001-02. A new target price of $115
... is the result of an increased 2002 EPS estimate of $2.00 .... We believe this
number is still conservative ....
* * *
Enron's Retail business has turned the corner on profitability, and should
continue to amass market share and enjoy its operating leverage. Enron has done
a great job of collecting a portfolio of large, multi-year contracts ....
257. On 9/15/00, Deutsche Bank issued a report on Enron. It rated Enron a "Buy" with
a $100 price target, and forecast 00 and 01 EPS of $1.39 and $1.56 and a 15% three- to five-year
EPS growth rate for Enron. It also stated:
• We reiterate our BUY investment rating on ENE shares with a $100 target
price based on ... our 2001 ... EPS estimate of $1.56 and Enron's internal
projections for the discounted value of its broadband telecommunications
business of up to $40 per share.
* * *
• We believe that Enron shares are ... uniquely positioned to benefit from
strong energy market growth and the fantastic growth in information
technology bandwidth.
* * *
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