SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Non-Tech : Cannondale Corp. (BIKE)
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Maverick who wrote (6)7/7/1997 3:55:00 PM
From: Marco Polo   of 103
 
Yes, I believe the wheelchair launch is very significant. Not only will it bring in some big bucks to the bottom line, it just makes us all feel warm inside.

I own this stock for several reasons. 1.) The company is better off than it was last summer, when it traded in an $18-$24 range. It should be higher than that range by the end of this year. 2.) The stock price is somewhat cyclical with the American dollar. When the dollar is up, it is down. When the $ is down, BIKE is up. The dollar probably has a better chance of getting a lot weaker from here than a lot stronger. 3.) The story (and product) keeps getting better and better, there is nothing happening that would ever make me want to sell it.

Some people are waiting for lower prices to dig in because the $ was up for much of this quarter. But that's wrong thinking. That's like saying that gold stocks will go up when earnings come out because they were high during the quarter. Just as gold stocks are controlled by current gold prices, international stocks like BIKE are directly related to the current price of the $, not how the $ affected earnings in the past.

Other people I see comparing the Cannondale p/e to the GT Bikes p/e. Well, GT specializes in BMX. It isn't really much of a force in mountain bikes or especially road. Cannondale is expanding and entering new markets. The same can not be said of GT. I would rather have Cannondale stock at 25x earnings than GT at 5x.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News