Don't know if it will rebound by the end of the day, but it will rebound. There was a nice run up going into earnings of a lot of traders looking for a bigger upside surprise, I would guess. They are selling now. QNTM's report wasn't as strong SEG's as far as their drive business goes. Still questions about their high end, and even how profitable their desktop business will become. They may be strong in the sub1000 market, but margins must be very very thin there, and FC is coming to a theater near them in the next 6 months or so, like it or not. He may not be any more able to duplicate his past success than Tom Mitchell or Jugi Tandon were with JTS, but he must be taken seriously for awhile, anyway. Much better, as SEG showed, to be strong in the high end than in the sub1000 market, though SEG is aiming there too, to make their heads/media business more profitable.
Still, the report was strong, even with the questions that remain. DLT and ATL were very very strong, and their competition remains, at least for the moment, more or less on the sidelines. I am still quite hopeful that the 25-26 level will remain support, barring, of course, a general market correction. |
