Actually Carl a lot of things have changed in the last several weeks. A significant number of older fabs have either been shut down or converted to other products. Computer sales have been stronger than anticipated. Selling prices have remained flat to rising. MU yields at .21 are rising, and more wafer starts are at .21 micron. Memory shortages are now projected for 2000. Each of these on its own is significant, together they represent a dramatic change in the picture for MU. IF MU can handle the TI acquisition without a disaster (a big if in my opinion), then they and Samsung will dominate the memory business going forwards. If the projected memory shortages do arrive, prices will be stable and falling costs will make MU hugely profitable, and the stock price will be much higher than it is today.
On the other hand, if MU falls on its face in the TI acquisition, or a worldwide depression slashes memory demand, MU could end up back at 20.
The quick answer is, yes things have changed dramatically. This is not a case of manipulation. Furthermore, things will continue to change dramatically in the future, and the price of MU will continue to reflect these developments. Stay tuned......
Carl R. |
