Doom and Gloom...ridiculous! QCOM mentioned there were problems in Korea during earnings and everyone should have been expecting this. Nothing new here, including the instant trashing of the stock...irrational emotion always controls the short term.
This is not a mature stock or company. Until CDMA has a hammer lock on the wireless world (which it will eventually), there will always be these short term downdrafts...and updrafts. It is a trader's stock for folks who want to live on the edge...or a long term play for folks who want to make an excellent return.
At times like this, only the negatives get the press and things like THIS are totally ignored:
>"Korea is certainly turning the corner,'' Michel Camdessus, the IMF's managing-director, told reporters here.
He was referring to Korea's economic prospects after the nation reached a landmark labor agreement with business and
unions, making it easier for companies to cut payoffs in an effort to restructure.<
Technically QCOM has major support around $45. Fundamentally anything under $50 is an excellent buy...IMHO. I really doubt we will see some of the fire sale prices several have thrown out here on this thread...if we do, however, QCOM holders should either sit back and do NOTHING or load up the truck with more shares. The comparison with other stocks, especially those full of momentum players (which QCOM has few...its choppy chart pattern shows that), may be interesting but really sheds little light on QCOM's future.
A similar comparison was made with the oil drilling stocks recently, comparing them to the semiconductor correction two years ago. Yeah, the stocks all went down, but the fundamentals between the two had NO comparison...which is why this recent driller correction has run its course and is preparing for a new run to new highs.
Everyone has an opinion and mine is probably more/less valid than the next poster here...but remember why you bought this stock in the first place. If you were worried about Korea, you should have sold on the recent rally and not let your greed influence your decision to stay. More importantly, don't let your fear force you to dump an outstanding corporation over short term concerns.
Diamond H |
