Hi Web Myst; Actually, our bet was "American style" instead of "European Style", so what RMBS does between now and whenever doesn't matter. Of course, I suppose that it's possible that you have a stop loss figured out. But a lot of the time, when people are buying a stock because of (perceived) fundamental value, they have no stop loss.
And what was the reason you're buying RMBS? Was it because of their patents on DDR and SDRAM, or because of the RDRAM technology?
I can't see why people are buying it right now. The legal system appears to have no good news for the bus for at least the next 6 months, and at the same time, there will be several dozen new DDR chipsets coming on line and almost no RDRAM chipsets, so the market timing doesn't look good. Heck, Rambus' CFO said they were going to have 3 quarters of just scraping by, and he didn't say it was going to get better after that. Most recent quarter's earnings was $0.04, that's only 16 cents per year, and 30 x that is below the current price.
-- Carl |
