I don't know, but it's screaming, short me, short me.
Check out the last paragraph from Briefing last nite:
...Unfortunately, tech stocks have already completely discounted this expected bottom of the cycle. The key question for future stock prices is end-user demand. With inventories getting back into line, new demand will trigger new sales. But will demand grow 50%? 30? 10? 0? Will it keep falling? That's all that matters now, and you can toss all those company comments about a bottom-in-sight aside when you try to answer this question, because the companies have very little clue about end-user demand in late 2001. Unfortunately, recent indications do not offer much reason for optimism. What began as a US downturn is now global, and the bottom has almost certainly not been hit outside of the US. Furthermore, we still believe that the excesses of the late 1990s will take longer than just two quarters to work out, and that demand will stagnate for several quarters to come. With a product line that is focussed more on consumers and enterprises than telecom carriers, Broadcom is better placed than communications IC companies such as PMCS, AMCC, and VTSS, but its challenges are not over yet. - Greg Jones, Briefing.com
Fred |
