My dear friends, Rocky, Allen, and Michael. Listen up!
Rocky, you do not want to see SYQT drop to $2/shr. If this happens, it will fall lower. Why? because many brokerage houses will move SYQT from their margin account to their cash account. Which means many of their clients holding SYQT will get maintenance calls and some of these will be forced to sell SYQT to remain in compliance with margin regulations. Thus SYQT will drop further--maybe to 1 1/2--on this sudden rush of sellers.
Michael, the problem with your vision of the world, is that you are driving forward while looking into the rearview mirror. Shame on you. SYQT revenue will increase in upcoming quarters because it now has a better product at a better price, something it did not have in the previous years you show. Even Rocky admits he likes Syquest drives because of price. My advice to you, forget about the past and look to the future. It appears the coin has flipped. Whereas Iomega once had the hot new technology, Syquest now appears to have the edge. That is why Iomega pumping $100 million in to advertising, without having the better product, will kill them.
Now Allen, what can I say. I'm suggesting Syquest will improve its earnings 25% each quarter this year. Not including compounding in order to keep it simple, that's equivalent to doubling revenues or about four times the performance of the stock market last year. Considering many people feel the market will not do as good in 98 as it did in 97, this will be a hefty performance for Syquest. The problem with your line of thinking, is that it does not consider Syquest on its own merit. Forget about grabbing 2.5% of Iomega's market, focus on doubling revenues. Although they may be the same, they offer different perceptions of success and doubling revenues provides the better perspective.
Now, all of you guys, go on and get out of here! This thread is for winners, not loosers. |
