Maybe a little considered reflection on my part would be appropriate, and also fair to Mr. Pang.
He's a bright enough guy, but his choice of words about the industry losing interest in cost of ownership issues was extremely poor and he should be judged by his words. Remember two things: 1.) analysts get paid for what they say about their analysis, NOT the analysis itself, therefore should rightly be criticized if they say blatantly ignorant things. 2.) analysts are not investors. All of the comments made here recently about Smith Barney's herd following etc. are right on the money. These guys are talking about the next three months or so at most.
His take on UTEK's business seems grossly shortsighted and unbalanced to me. We are still in the throes of the equipment recession, and it is fully expected that lumpiness will prevail. I was not surprised and didn't really care that the last quarter saw rather disappointing sales on the semiconductor side. The proper persepctive for UTEK is to appreciate the business savvy and diversification that got them through the downturn, and to ask what these same traits will do for the company going forward. Business will pick up again,and when it does the stock will go substantially up from here.
To anyone on this thread who's concerned about all this crap, relax: for small investors like us the ability to make money resides in knowing what our strengths and weaknesses are. We cannot visit all the companies, don't have a team of CFA's and traders, and can't manipulate prices. Some of these are our strengths believe it or not. Our strengths also include the ability to wait to buy; to be selective; to be highly concentrated; the ability to ignore analysts, newspaper and magazine writers; and the ability to sit through the volatility patiently waiting to be paid.
Recognize at the outset that the real danger comes not when you drop your soap, but when you decide to pick it up.
Wally (large long at way over today's price and buying) |
