Jim, re: ISSI
I don't follow this stock but your question has me interested. All you say is true, although I did note 1) the very small cap nature of this stock (26 million shares, market cap of $365 million and falling, 2) the specialized products it focuses on ("high speed and low power SRAMs and its low to medium density DRAMs ") and the fact that last year's earnings were 68% gains and only 32% "real" earnings (earnings of $25.1 million included a $17.2 million gain), which may have some folks focusing on the quality of these earnings going forward.
Mostly, though, I believe this downward spiral represents a couple of things, neither of which would seem to matter to someone with a relatively long term view of the stock (more than, say, 5 days):
1) it still trades at about twice its 52 week low; for those who love charts it may mean it has another 6 bucks or so to fall before it's "cheap" enough.
2) Look at this list of customers. They're all warning and moaning. "The Company's customers include industry leaders such as 3Com, Alcatel, Cisco, Ericsson, Hewlett Packard, IBM, Lexmark, Motorola, Nokia and Seagate."
To me, this is one to watch and buy when the market capitulates. Since it's not one of the large darlings there should be enough time to get it before it skyrockets.
Dos centavos, compadres, nada mas. |
