re: Semiconductor Upgrade by Solomon
Thought people here would like to read what Semi Analyst Jonathan Joseph actually said in his upgrade note today, before the open
"Conditions at many of our companies are the worst that even old-timers, who have been through scores of downturns, have ever seen"
"If it cannot get worse, it will get better. If it gets better, the stocks will begin to reflect that."
"Never in our experience have we heard stories of prominent semiconductor makers reporting no net bookings in the quarter, shipments for good, if not great(sic), component suppliers falling 50 percent quarter on quarter, and distributors reporting a 65 percent decline in demand."
This is from CBS Market Watch. They extracted the quotes.
cbs.marketwatch.com
Go to Upgrade Chip Stocks link on face page
Not exactly a rousing endorsement of the sector, I would say, and it leaves the analyst with a clear "out", as his comments simply reflect how bad it is, and IF it gets better, etc. Thus an upgrade, HA!
So, still want to buy into the semiconductors today, for the big turn? Shorted more MOT on gap up; shorted DIA, and added to DJX June puts. Added to CHKP shorts on gap this AM.
I will be patient.
Good luck to all traders, long, short, whatever.
James |
