StockDork is right!
Do you think CPQ paid $9.5 billion for $0 revenue base? How can you say that despite no information, $50 billion is the number to work with right now? Do you agree that even under extreme conservatism, you could assume historical DEC revenues grown at inflation to Y2K?
Your comment about profits and accretion being indications of revenue growth is off the mark also. Don't forget the stock component of the DEC deal. Accretion/dilution is afterall a per share phenomenon. Also, you don't think that a merger can be accretive based on cost synergies and greater operating efficiencies, even if there is no revenue growth or revenue base (an absurd assumption!).
I share your frustration, however. I am quite disappointed in CPQ performance this week, given DELL. No one seems to have the answer to this week's CPQ behavior. I don't quite buy the option theory yet. By the way, who is the idiot who keeps saying buy TODAY and buy at below $35? And all those who think the stock is going to $40 next week, send me whatever you are smoking. I think over the next 6-9 months, CPQ will continue to reward; however, I think that few of us believe the incredible propaganda on this thread. So quit wasting your time - I am not buying at least.
The options analysis given by Sans(?) is interesting. I would like to hear from you, Sans, what you think will over the next couple of weeks based on your options analysis. Keep your fingers crossed! |
