SEG and others -
Thanks for the comments Greg and Larry.
Before I say more about SEG, which may not be of much interest to you, I agree about COMS and CPQ. I have been holding COMS for a month or so now and also like the anything communications oriented (including SPTR recently mentioned). CPQ has been beaten to death already, but agree that it could get worse (I am also hoping to catch below 20, but may end up chasing it - as happened to me with COMS).
I agree about the commodity aspect with the SEG (more specifically the HD sector), it is definitely something to be worried about. I *think* the sector is getting closer to turning around, but my timing on the sector has been poor in the past... and summer is almost always bad for the sector. It does sound like SEG has some competitive advantages right now (e.g. U4 drive), or at least according to so say some recent news articles.
I am no expert on SEG, but here is what I know about their software and non-HD business: They own about a 40 percent stake in VRTS from recent Seagate Software transaction (current market value somewhere around $1.75B), small holdings in WebTV, SanDisk (SNDK), Gadzooks Networks (IPO soon), the remainder of Seagate Software unit (nothing to scoff at) - and possibly a few others I don't know about. In any event I am guessing say that these "other" parts of SEG are worth at least half of their current market value - BWDIK.
Thanks again for the feedback, great thread you guys have here.
Mike |
