I've owned more graphic chip stocks
over the years then I'd care to admit,
and one thing I've learned in all that
pain is product transition cycle periods
are ALWAYS a bitch on shareholders. It's
usually AFTER the new product hits the
streets, and begins to show signs of
acceptance that shareholders cash in.
Better news would be solid diversification
wins into NON-Graphic chip projects like
DVD, digital camara's and so fourth, but
success in those markets is a uphill
battle as they must defeat HUGE South
East Asian players in the consumer
electronics game, who would sooner bid
products below their cost, then give up
and inch to any foreign new entry.
Your $40 price target is ridiculous,
and 18 months is an eternity in this biz,
or is based on a trailing P/E matching
the S&P P/E average. the S&P P/E average
is already too high; (which is why money
is flowing away from overvalued large cap
stocks in other directions, just check any
index mutual fund against any growth fund
and you'll see what I mean) graphic chips
stocks rarely are granted parity valuations.
If NMGC ever returns to previous highs,
before insiders dilute the sh!t out of
it, would be miracle enough.
(ask anyone on the TDFX, SIII thread
about what I'm talking about, and they
will agree with me whole heartedly)
Thanks for posting the 08/19 earnings
date. You can expect NMGC to be very
quiet till then. I'll watch NMGC for
now, hoping for a confident re-entry
point over the next 4 weeks. I almost
wish there was no upgrade today.
Otherwise, we might have picked up
really cheap shares this week.
Patience... |
