Joe:
Even though you responded to Ramsey, I feel like you were responding to me.
First of all, I don't really have much of a problem with the insider sales. I advise people to do it all the time. Second, for you to be only disappointed in wind's performance over the last month or so means that either your timing was very good, or you haven't really been in the stock that long. Since you indicate that you have sold when the timing seemed right, I assume that your timing is very good--much better than mine. I still own most of the Wind stock I've ever bought, since I'm primarily a buy and hold type of investor. In retrospect, that has been a mistake with wind.
It is true that wind has outperformed the Nasdaq over the last one and five year periods. In the five year period, it is almost entirely attributable to pre 1998 periods, and in the case of the one year chart it is because it took so long to recover from the January 1999 disaster. Over a two year period it has approximately broke even--compared to the Nasdaq, that's not great. Compared to almost any other company involved in the internet infrastructure its terrible. Compared to your 74% performance, I'd again say your timing has been very good.
Wind has a current market cap of about $2 billion. I'm guessing that they do about $425 million in revenue this year. Their PSR seems low compared to other similar type companies.
My main point was that wind is a hard company to understand, and they do a very poor job of telling it. My opinion is that they need help. Obviously, if they report blow out numbers, they could probably tell any story they want. My guess is that they have good numbers, but not a blow out.
BTW, today I did what I usually do when I get real frustrated with wind. I did a search on dice.com for VxWorks and looked at all the things companies are doing with it. |
