Re: CSCO will be cut in half at least over the next year or so.
History and fundamentals tell me that CSCO will be cut in half at least over the next year or so. The nasdaq 1500 seems like real support but it has the chance to get even worse then that. As many of this little garbage companies go bust and the "gains from investments" game ends the players that survive will be cutting prices and each others throats just to stay a float. I see a real earnings from operations coming under great pressure in the coming years.
It's funny how the Internet was supposed to be so good for business and corporate america. I think it will prove to be the exact opposite. It will prove to be the greatest tool the consumer ever got.
bambs,
I agree that the Internet will be the greatest tool for the consumer, but that does not mean it will not be good for Corporations!
You speak about business and corporate America. They call it the world wide web. It's a Global Economy at work now.
Sure the consumer gets a fair shake, but so do corporations, there is the flip side of the coin from B2C, B2B
I understand a reason for a Bear thread on CSCO, but in the real world, the Network around the world must be revamped.
Will CSCO be hurt by Competitors, No! Because the Market is growing by leaps and bounds. Bandwidth Growth makes Moore's Law seem slow. And like an increase in Salary to the consumer, the more you have, the more you spend and need....
In June this year, Cisco was doing $37 Million Dollars a day on it's Web Site from B2B! That's 80% more than in 1998.
If you think that this will slow down, you need to sit back and think about what revamping the World Network entails.
And it won't be long before the Third World Countries and China, begin to their build out.
Cisco is no longer just a Router Company and has it's hands into every piece of Networking. But let's just drop back to Routers for a second.... Routers built Cisco to what it was from 1990 until 1997.
Routers were the Network, now as revamping "begins", it's DWDM, ATM, Fiber, Fiber Equip., Etc. Routers are still in the network, they are just being pushed to the end of the network, instead of being the network. This means Cisco will most likely sell 2X as many routers in the next 5 years than it sold in the last 10 years. Over the next few years Routers will become just another chip instead of a box, but the bandwidth push will continue to Grow.
As I mentioned "I understand a reason for a Bear thread" but lets keep things real, and not lose site of the future growth of the Network, Bandwidth and Cisco.
And please explain your comment "I see a real earnings from operations coming under great pressure in the coming years. "
Regards,
JW@KSC |
