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Stan Kiefer of Kiefer & Associates and Hany Nada of Piper Jaffray provide the following stock idea on Autodesk (ADSK 33 3/8). Below is the write up.

Technology companies that have exposure to Asia in any shape, way or form have seen
their shares take a spill because of the economic turmoil in that region. Autodesk, which derives 15% of their revenues from Asia has been no exception. Their shares tumbled from $51 to $33 last October, rebounded to the high 40's in May and then nose-dived down to $30 recently. Autodesk is a leader in the development and marketing of computer-aided design ("CAD") software.  Click here to read a profile on the company.

Is this a time for shareholders of Autodesk to be paranoid? Not according to Stan Kiefer
of Kiefer & Associates. Autodesk is one of his strong buys and he finds it a very "compelling value" in the low 30's. He notes that Autodesk is generating a tremendous amount of cash flow and believes that will be a leading indicator of future earnings.  "Financially they are incredibly strong, they have no debt and have the flexibility to move into new markets by acquisitions or by development... Their stock will definitely rebound!"

Hany Nada, an analyst at securities firm Piper Jaffary, says that about every two years, Autodesk upgrades their AutoCAD product. They are on version 14 right now, which is almost two years old. "Starting in 1999, you will see the next version of AutoCAD 15 and a number of new vertical products," says Hany.

He admits that there is much concern about the upcoming October quarter because of Asia but feels everything is on track. He predicts Autodesk will earn $2.24 for fiscal year ending January of 1999 and $2.70 for 2000. His 12 month target is $60 per share.

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