I'm guessing that this accounting problem is just smoke, not fire, and it will blow away soon. FWIW, I'm using this downturn to add to my EMC LEAPs. I'm buying 04C20s. Holding a bunch I bought last Fall, when the stock was between 16.30 and 10.90. Adding more, in increments, with the stock at 15 and on down, as low as we go. Probably lighten up, sell my higher-cost lots, the next time we reach 18. Hold the rest till 2004.
NTAP is at 3 times its 2001 low, while EMC is barely 30% over its panic-selling 2001 low. The market is very unimpressed with EMC's gross margins of 37% (versus NTAP's just-reported 62%). I'd have thought, given EMC's brand name, they'd have less pricing pressure than NTAP, but it hasn't worked out that way. Glad I'm holding a bunch of NTAP LEAPs, too.
BTW, you ever coming back home? |
