First I've heard of it. But MXO and WDC both were up by 12% today, up by quite a bit in the last month. Could be that the Saudi Arabia of drives (e.g., the former SEG) is keeping a lid on their sales to drive up prices and make their IPO look very tasty. The article is a little suspect, though, as it includes IBM in its list of vendors--but IBM sold its drive unit to Hitachi (though maybe the sales isn't yet completed? I'm not sure about that).
At any rate, maybe someone like Zeev or Gus would know more. I'll try checking on google for more info, but am short on time right now.
BTW, I've bought a bunch of DSS. Average price around 2.5 now. Won't buy anymore. I think it should at least go into the 5s or 6s, where it should meet with some fierce resistance, which will only be overcome by a return to profitability or a decent increase in revenue (preferably both, obviously). They could return to profitability with much increase in revenue at this point, as they have lowered their breakeven point quite a bit and have gotten rid of Snap, which was a drag both financially and on management attention. Hopefully, they will be able to keep important Benchmark personnel, and get their revenues up and their margins up to their 35% target (from just under 30% this past Q).
Pray for me, I may need it on this one.
Sam |
