I got out of my DELL short position long ago in the low 80's......am I still bearish?...Yes , but the timing is not right....DELL has some correcting to do but it is a great company with tremendous earnings growth and incredible momentum at this time. The valuation is still rather high, but it is very difficult to predict when the market as a whole will decide that its TOO high. Until then , shorting Dell for a long term play is dangerous. You need to play it more as a scalper and pick points and timing to very exacting levels.
CDRD is a whole different ballgame, and should never be mentioned in the same sentence (or post ;^)) as DELL. CDRD has no earnings , no revenues, and no potential for either for a minimum of 2 -3 years, as well as no way to service current debt or raise the additional 400 million in financing to even give this concept a chance at reality, UNLESS THEY RAISE THE CAPITAL THROUGH FURTHER STOCK DILUTION ......Hence it is a great short sell, for both short and long term, with a real potential future valuation of ZERO, if the idea never takes hold , or the money never gets raised, or a competitor beats them to the punch, or a new technology is developed in the next 3 years befor the satelite even gets off the ground, etc. etc. etc...........you get my drift? There is virtually nothing of substance to warrant this ridiculous valuation, IMHO......best of luck..........;^) |
