Right you are, Charlie. Also important, though, is how much NETA pays for earnings (or potential earnings), and then what NETA does with the companies once it buys them. Conseco, an insurance company, is known as a very efficient consolidator--sometimes sending the moving trucks to the acquired company's offices the day of the announcement. I would hope that Networks Associates' acquisitions would yield some REVENUE synergies, too (i.e., cross-selling, bundling, etc.), not just cost savings. Any sense from anyone on how well NETA does on that front?
By the way, it was quite a ride on the Network Associates roller coaster today. Despite rumors of nervousness surrounding Intel and other technology companies--plus the shellacking of the health care information services sector--NETA held up pretty well, rising to $48 by noon, before it settle down slightly before yesterday's close. It definitely seems more oversold than overbought. Any thoughts? |
