Calvin - I'm not sure we should be thinking about a selloff as of yet. For the most part, the closing price is only $7 off the 52 week low, and for the past week, there appears to be heavy accumulation and most trading showed large buys and relatively small sells.
I suspect we will see a small gap up tomorrow, but that depends on coverage. Considering the volume, I would suspect that brokers already have their shares, so I would assume a nice run of press releases. But, you know the old saying of the word ASSUME? <g>
I think the things I like best about CHTR are some of the simple DD facts. The book value of CHTR is $18+ and the price to book is about 1.4. Considering some of the competitors are GLW (Corning) price to book over 11 and PSIX and GBLX and VYTL, each of these have a much higher price to book. Simple numbers that don't carry a lot of weight, but could be important to brokers and large investors.
I can't begin to caluclate the price of CHTR as it compares to its peers, but they do cover a wide spectrum, and they should have a price to book of 3-5. Low end that would be about $54, and a high of $80. Again, this is really silly, because I can not begin to calculate the real value. Investors do that.
I own GLW in my long portfolio and don't have the option of selling it, so there it sits. I watched when I received 500 shares of GLW at $50 depreciate to $30. But, it is now over $100. Time will tell with CHTR, and I will not be following it every day!
Good luck to you.
Playing the guessing game, I would say CHTR closes around $28 tomorrow with any coverage, and finish the year out around $35. Market conditions will tell the story. CHTR one year from friday could see a price of 3 times the current price. Again, looking at the competition, each of GLW, PSIX, VYTL, GBLX - tripled in 12 months. That would be nice. |
