David: I am not sure how irrational the drop last week, given the comments of an Adaptec rep and the earnings revisions, as noted in a response to your comment. The initial fall early in the week seemed sympathetic to rest of the tech stocks that got hurt. The comments and revisions, I believe, spurred the fall to the high 30s before settling in around 40, over 20 percent below its recent highs. In the past, Adaptec has taken big hits for no apparent reason and recoverd quickly. This was the case during the "Asian flu" epidemic last month, when it dropped 7 or eight points and recovered swiftly. In this case, the recovery could be slower.
Still, I'd buy more, if I had the means right now. There is nothing wrong with this company except the price of its stock.
Good luck,
Starowl
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