FWIW, jack, here's my brief comments:
1. Good questions are raised about the aerospace exchange. Many of commented how or why ORCL did not participate. My own speculation, & I emphasize again, speculation, that perhaps some unwritten deal was cut (understanding) between CMRC and ORCL when the AutoExchange deal was solidified. While CMRC names was still attached to the deal, the inference I got was that ORCL's technology/software would be the dominant one, maybe the only one albeit a few minor twists. The bottom line to all this is I really don't know. But it is unlike ORCL to "go down" silent in the long run, and the may have been some quid pro quo on the aerospace deal.
2. As other have stated, the insider selling is to be expected. When you earn as much as these guys do, you wanna be able to "realize" it, and you also want to diversify your holdings a bit. I think if you had 98% of your net worth tied up in one company, you do the same. Its just plain prudent. Now if these guys unloaded a substantial portion of their holdings, then there would be cause for concern.
3. The valuation play is being played out right now. It all is based upon investor appetite for growth stocks. As far as your concern to a possible return to 25 P/E, I don't think it is likely. There are too many turbines pushing ORCL right now to give rise to such a downturn, particularly when some of the turbines are just starting to spin.
JMO. |
