>>RR if this is a dead stock, dead money, WHY DO YOU WANT TO BUY IT at even 6 or 5 or 4 or whatever PRICE. This is a DOA company, isn't it?<<
Tell you what williet, since I have never seen you around here before, and now you ask me to tell you what I think about Iomega, let's make sure we have some basics out of the way.
There is something called money. One generally likes to make money. The Stock Market is a place where some people like to try and make money. They do this buy buying and selling little pieces of companies called stocks. When one sells a stock for more than he paid for it, he makes what is called a profit. Profit=good. Loss=bad.
Now that that is out of the way, my thoughts about Iomega are this:
Iomega will establish a new trading range. My guess is somewhere between $6 to $8 for the next couple of weeks. By year's end, it could be at $12-$13. At the current price of $8-$9, IOM's PE is below 20 for the first time in a long time. IOM has been projected to grow 37% this year. Those estimates will come down, but still the growth rate is more than a PE of less than 20 will allow. Zips still seem to be selling well, and this fact could push the PE back up to about 20-25. Iomega is not a DOA company yet, but IOM stock is on life support. |
