richard-
the only reason WSTL will trade lower is ST perception. long term the company is a winner. i dont care what ALA says, i believe the company will not only be competitive, but will eventually edge ALA out of the market. Bell Canada seems to have gone out the door, but we dont know yet. i mean, we have no detailed definite knowledge. of course, even if we do loose the CO side, we still get the modems. i'll take it over nothing. i think the next q will be good. we arent loosing that much money, and with some actual sales other than for trials, we can expect to see profits that are fairly good. and thats really the point. all those little nickel and dime contracts we already have are going to make us profitable. when you throw in bell atlantic and at least the modem side of bell canada, we are going to do much better than the analysts think. and the result for the longs is going to be tremendous.
i do not think we are going to revisit below 10. i dont think we would have gone below support at 18-19 had it not been for all the weakness on wall st. (sidenote: you know, i've heard a lot about how strong the traders are, and how great the professionals on wall st. are, but i have to tell you...after monday only one word seems appropriate: pussies.) as johnathan has said, the street will drag us down if they think they can get away with it, or if they think we arent going to make any money ST. i agree with this, but would add one caveat:contracts. we are in the same limbo that the street is in. we simply do not know when contracts will be announced. one thing is certain though...any contract will prop us up considerably, and it will hurt the short. i think the street will shave a few points where it can, especially above 22, at least until a contract comes along.
this is all kind of like a game of chicken. and if i've learned anything since i started investing its this: wall st. doesnt know dick about technology or how to trade it. i assure everyone, they'll blink first.wait them out and spit on them as you walk to the bank.
good luck to all,
trey |
