FORT IOMEGA II: THE HERETICS STRIKE BACK
Guy, here are others who just don't understand the mix of technology and economics:
Wall $treet Week w/ Louis Rukeyser Friday June 7
-"A Talk With Three of the Country's Most Emininent Authorities on Who's For Real and Who Isn't .... and Where the Future Lies for Investors in Technology ...".
Special Guests:
Chip Morris, President, T. Rowe Price Science & Technology Fund
John Doerr, P'ner, Kleiner, Perkins, Caufield & Byers
Jay Hoag, Founding General P'ner, Technology Crossover Ventures
Well into the program, after each "technology investment expert" gave their hot stock picks, Louis Rukeyser asked, with an appropriate pregnant pause:
"None of the three of you has mentioned perhaps THE MOST HYPED STOCK OF THE YEAR, IOMEGA. Since you didn't and I did, will you comment on it"?
The response came from Chip Morris of T. Rowe Price:
"Well, Iomega does have a real business, but the big question is whether the valuation that the company possesses today, which is north of 3 billion and was approaching 4 to 5 billion, is really justified by the current fundamentals. Its a very tough business, lots of competition is coming in, companies such as Syquest and larger companies such as Seagate and others will come into that market and make it very difficult for that company going forward".
-The other two panelists signified their concurrence by their silence.
So, back to the show's topic. Yes, Iomega is for real, but its valuation is extreme and its future problematic.
-I guess Rukeyser et al can be added to the conspirators/enemies list.
Regards |
