Mr. Trimarchi: I do agree with 99% of what you said, and yes I do remember your name from the past. You state and question with the voice of reason. But as many (so called experts) have said over and over, this market is unreasonable.
>My question is: Will the market allow this?< As long as the market is into speculation, yes. It can allow much more. This is based on the assumption that earnings can exceed expectations. (Of course, you already knew this) This also assumes that P/E is still the benchmark of what a stock should be valued at.
Everyone wants a winner. There are few around with low debt, high cash, high earnings, and the prospect for huge future growth, relative to the rest of the market. All this fuels high prices? Well, maybe it's just me. Again, everyone wants a winner. I saw it with MSFT, HD, Walmart, etc...so they can say, "I bought xyz at $10/share in 19--". So maybe it's not just valuations, but also bragging rights, and ego? Just my guesses...
A very well thought out analysis of sentiment and reason. I've wondered the same things for Quite some time. I probably will continue to do so. One thing I do know, if QCOM does go to "more reasonable valuations", I'll have lost a lot of $$$$$, but will own a lot more shares!
Good trading to all today.
Q rocks, just a matter of time... |
