dppl, if i were buying on technicals alone you have a very valid concern, however, your examples are unfounded, Xicors fundamentals blow all of your examples out of the water.
Amati - last four quarters EPS +.08, +.01, -2.14, -.03, last four quarters of sales (000,000's) 3.3, 3.4, 2.5, 3.8. This stock went from around $7 to $35 in about 1 month based on pure hype and no fundamentals.
Ancor - last four quarters EPS -.11, -.08, -.09, -.10, last four quarters of sales (000,000's) 1.1, 1.3, 1.6, 1.4. This stock went from around $7 to $40 in about 2 weeks based on pure hype and no fundamentals. i know this stock well i bought at $20 and sold at $30, thanks to the hypsters.
CUBE - last four quarters EPS +.13, +.24, +.36, +.38, last four quarters of sales (000,000's) 21.6, 35.3, 50.6, 68.1. This stock over the last 6 months traded as high as 73 1/2 a whopping P/E of over 90, the reason this stock corrected is that it's price got way ahead of its earnings, pretty simple. Current P/E is still 31 based on fridays close.
XICOR - last four quarters EPS +.11, +.14, +.21, +.15, last four quarters sales (000,000's) 25.7, 27.9, 36.4, 28.6. This stock is trading at a P/E of 18, in this case the price has not gotten ahead of its earnings like the ones you noted.
Sure, IF the NASDAQ continues to sell off XICOR and the rest of the Techs stocks will go down. the latest point & figure charts that i review gives the electronics sector a reading of 48, down from 70+ a few short week ago, it is still in a bull correction mode meaning that we are probably shaking out the weaker people and building a base to move higher. also we are reaching the point where all the people that want to sell have already sold. Technically speaking this is a difficult market because there is still a few sellers out there which put that fear into the buyers mind. I like xicor at these levels and if they are able to meet the analyst expectations you would have liked xicor at these levels.
blaine |
