M. carter's "food for thought" - I don't agree.
Over in the ASND thread, M. carter posted this:
exchange2000.com
I'll try to summarize his thought-bite: Ascend investors are smarter than COMS investors because they heeded an earnings warning, and fled the stock, driving down the price. COMS investors haven't run.
I don't agree. ASND investors did not seem to have any advance about the ASND earnings issues (even though some of us wondered about costs of the K56 upgrades, and burning MAXen, and so forth). There seemed to be shock. Further, a strong feeling against management developed, and was mentioned widely in some media. (No, I don't mean this thread on SI... I mean widely circulated media.)
COMS investors have been wondering about costs of the USRX merger since before the stock fell from the 50s. Now, there isn't all that much bottom left (I know, Craig, you don't agree). There has been a lot of commentary on inventory in the channel, and the market has already accepted that there was going to be some kind of hit. But COMS investors remain convinced that the company has value, and will move forward.
The way to figure who is right about these things is not to see who can post the most times, but to put your money down, and then wait. In the meantime, we try to understand both the technical issues, and the weirdness of the market, as best we can.
Dick |
