WDC/Sandisk Corporation Message Board

STOCKTALK

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.

Technology Stocks : WDC/Sandisk Corporation

WDC 178.76

-1.5%

10:05 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: limtex who wrote (26791)	10/14/2004 11:31:58 AM
From: Pam	Read Replies (3) of 60323

Hi Limitex, I couldn't agree with you more. It will take a while to restore confidence into this one. By the way, is it just me or others also think that this stock is just too volatile for the kind of newsflow it has? I haven't been following MU or IFX or some of the other memory players that closely but given the kind of news we have had in the past and yesterday in SNDK would one expect a similar %ge move up or down? SNDK has had fairly large number of wild swings in the last one year after eps and wonder if it is typically warranted or is it because of the so called investors or speculators or traders taking position in it? This stock is certainly not for the faint of hearts! Seems like it has too many short-term players and causes wild swings in the stock price. If I try to see if there were any hints to what was to happen, one thing that I noticed is that despite the nice rally between Aug 15 and Sep 15, short-interest went up (albeit small amount), which means some of the professionals were selling into the rallies. I doubt individuals were short-selling because most people were excited with the oppty ahead and with traditionally strong period ahead and lowest cost producer status one wouldn't have taken that stance. Certainly, the SB analyst Craig was right (and I certainly was wrong) that Sandisk lead into 90nm/4Gbit MLC was being marginalized. Sandisk's best q in terms of Mbit shipments growth q-over-q has been 40-50% and we need to do 90% Mbit growth this q over the most recent one to make the 515mm rev target (midpoint of 500-530)! I wouldn't say impossible but pretty daunting task, if I may say so. Unless of course the prices firm-up and that can mean higher revs for lower Mbits (seems unlikely though, the way Samsung has played its cards)! Where is the price elasticity when we need it?? Limitex, even if the 4Q is great, my feeling is lot of players are going to shy away. This is getting too wild for most investors and best play for traders. -Pam

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next