My feeling is that, in a worldwide economic slump, it's best to invest in companies that are reasonably well managed
No doubt. My thoughts are though that the economic slump is likely to get worse. We may have six months or a year of better times, but things are going to get worse. With Samsung flooding the market, this is no time hang on. We are trained to be fully invested at all times, but there are long periods in economic history where you are better off holding cash. I've been mostly cash for some time, now I just have more.
I have no doubt SNDK will survive, I just don't think the stock is going to be a good investment over the next two years. My guess is that I can buy back in at half the price at some time in the future. At that time, I will do so if SNDK isn't just a commodity producer and their intellectual property is worth something.
BTW, re If flash memory were about to be replaced with some more modern, lower cost technology, I'd be as concerned as a manufacturer of buggy whips in an area where the automobile was taking over
by the time you know it, the stock will have been creamed. |
