Art, Jay,
I think 65 is a good price to buy as well, thinking long term, but--think back to May or so. If someone would have predicted a 65 dollar price in September, I think he/she would have been greeted with a little derision, even if grateful/hopeful derision.
I think the market is ripe for a correction. If there is a sharp general correction, stocks like Sandisk--which is to say, high PE, PSR stocks--will get hit. I wouldn't run out and put too much money into options which will expire in the month or two. Last Aug-Oct can happen again, stocks could get sold down to some pretty fearful, fundamentally unjustifiable levels. I would have been happier about this if they had managed to get the secondary off before it. Though their cash position is pretty strong as it is, even given that they will have to add some capacity. They can afford to put it off, and, I hope, will do so if the stock doesn't rebound pretty sharply.
Sam |
