Picks of the quarter 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.

Strategies & Market Trends : Picks of the quarter

ATHR 6.040

-0.7%

Jan 13 3:27 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: tejek who wrote (1198)	8/10/2006 4:43:27 AM
From: Elroy	Read Replies (1) of 20435

Is that why its pulled back so much? As far as I can tell the bear story on OVTI is that eventually the image sensor market will commoditize and compete intensely on price like the DRAM market. If gross margins move up sequentially the shares will rally (price pressure is not a problem), but if gross margins dip sequentially the shares will tank (price pressure is a problem). Also, the stock has a massive short position (about 21% of the float), so the bears will analyze every little piece of info in quarterly results to find something to complain about. I've never seen such a large short position in a stock that has a huge net cash position (36% of the market cap is cash) and has reported record revenues in three of the past 4 quarters. It is one of the stranger tech stocks I've ever watched closely - I understand why an investor might not go long OVTI, but why they would go short against a profitable, cash rich growing company I really have no idea - there have to be better short candidates out there.....

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next