fred..."reality check"
you've been very vocal, me, a bit less, but both with the same conclusion....reality has set in and perhaps the loyal investors can see how impossible it is for a company to maintain growth in a slowing economy....the feat is difficult in a rapidly expanding scenario....
good thing is that downside momentum has slowed, but a momentary increase may occur...bad thing is that it can slow bleed as investors, especially large scale, attempt to determine value....all the new metrics, pegs whatever have been proven to be a charade....real business analysis is kicking in....pe wise, does brcm deserve a premium? probably not....do a comparison with brcm and a beaten down chip maker like atml, who is maintaining some semblance of fundamentals....and try to derive a peg on brcm....
"fabless" ain't so "fabulous".......it requires perfection to grow, and allows deficiencies to be hidden....
no position long or short, out at 200+, reality returns to the world of investing.....it will eventually base, but until then........
good luck
ed a. |
