Pat,
Look back on my previous posts. When asked and also on my own, I have made it clear that I was long JDSU. It has happened a lot that my cautionary posts about expanding p/e multiples has lead people to assume I am simply dissing JDSU and have no stock or am short. I don't understand why people read my caution and leap to the assumption that I do not hold the stock or do not believe in the future of FO.
Yes I have been stuffing my face with cream puffs. And, I can tell you that taste great! I have not been telling people they are poisoned. I have been saying this specifically: if you bought the puffs on the cheap, then why worry? Eat.
I have said, though, it is dangerous to chase a stock upward. I have said the valuation of JDSU is founded on the greater fools theory. I have said that since the p/e went beyond 50, I personally would not purchase more. The fact that the p/e has expanded beyond that has not changed my opinion one bit.
I have also stated clearly over time that I am a true believer in FO and JDSU in particular. I just know that growth in FO over the next 5, 10, 15 or more years will continue to be explosive.
What has changed recently, however, is my assessment of the precariousness of the overall market.
I do admit that I've put on a little weight from the cream puffs. But darn, they tasted so good. I might have to eat crow in the future though. If I have to eat crow, I may be able to take off a few of the extra pounds I got from the cream puffs.
Ciao,
David Todtman |
