BUSINESSWEEK ONLINE : JULY 17, 2000 ISSUE
BUSINESSWEEK INVESTOR -- INSIDE WALL STREET Dassault's Assault American investors looking for global tech plays are zeroing in on France's Dassault Systemes (DASTY), which develops software for computer-aided design (CAD), manufacturing, engineering, and data management. The excitement stems from Dassault's products for e-manufacturing, which help factories create, monitor, and control their production systems from beginning to end, thus saving time and money. Dassault was first featured in this column on June 16, 1997, when the stock was at a split-adjusted 32 a share. It has since leaped to 97. Dassault's customers include blue chips from all over: DaimlerChrysler, Honda, Boeing, and IBM, which owns 10% of Dassault. Dassault's major customers are the auto and aerospace outfits in the U.S. and Europe. Dassault's goal, notes Vinay Shah, an analyst at Morgan Stanley Dean Witter, is to provide customers with products that integrate not just one stage of their production cycle but all areas of manufacturing. Dassault has now become a diversified supplier of ''digital solutions'' to aid manufacturers to revolutionize their production systems, says Shah. He figures Dassault's e-manufacturing business represents a potential $2.5 billion market for the company. In 2000, Shah expects Dassault to earn $134.4 million, or $1.14 a share, on revenues of $620 million. In 2001, he foresees $171 million, or $1.44 a share, on sales of $748 million. Jay Vleeschhouwer of Merrill Lynch, who rates Dassault a long-term buy, says Microsoft has expressed growing interest in Dassault's digital manufacturing systems and could partner with Dassault on it. ''Microsoft wants to create an environment around Windows for business processes, including manufacturing,'' he says. Dassault couldn't be reached for comment. By GENE G. MARCIAL _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ BACK TO TOP					RELATED ITEMS Dassault's Assault CHART: Starting to Hum INTERACT E-Mail to Business Week Online

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