I think 04 looks like another bad year right now.
'04 looks like a great year for cell phones, networked storage, printers and consumer electronics. Growth in these areas is phenomenal, and will likely be phenomenal in '04 regardless of the economy, job growth or an unexpected cyclone hitting Florida!
But since last fall, Sun has been my only real steady performer. Sun was outperforming the market recently for sure. Thats why I am so surprised people are bashing Sun.
Well, there's Sun the company and Sun the stock.
Sun the company has underperformed its peers for ALL of 2003. If you compare SUNW's 2003 revenues versus its 2002 revenues, and you will see that SUNW shrunk revenues significantly in 2003 (over 10% down), whereas IBM, HPQ, DELL, LXK, CSCO, EMC, NTAP, and even AAPL were flat to up as much as 15%+ (NTAP and DELL). Sun is the company has definitely been UNDERPERFORMING the market.
So you think because SUNW the stock went from $3.50 in October '03 to $5.25 a week ago (and $4.40 or whatever today) that it doesn't deserve a bashing? Sun the company deserves about a big a bashing as a tech company can get, and Sun the stock will only consistently outperform the market when it outperforms those other tech companies listed above, which methinks is going to be never.
That's my 6 cents.
elroy |
