Rosemary,
Fenton has been on this thread awhile and he believes this
company is far too reliant on a couple of large customers,
very much like what happened to Ciena. JBIL is a fine company,
but the question remains, does it or many others for that
matter warrant the valuations being given to them by investors.
I believe that JBIL is one of many momentum driven stocks,
which rise and fall with the psychology of short term traders.
In that case, this buying frenzy in JBIL and many other stocks
is going to end very badly.
We are at the end of a once in a lifetime stock market mania
and when it ends (very soon I believe) many people will be calling
for the heads of the so called Wall Street gurus.
A little background on me. In 1981-82, I had a number of
well known nonprofit institutions as clients. Their boards were made up of well known corporate bigwigs. At that time, the institutional
portolios that they oversaw had about 20% of their assets in stocks.
Based on their prior 10 year experience, CD's were expected
to outperform equities. We now have the mirror image. Most
investors today don't know that stocks can go down. Just ask
the Japanese and Koreans what their attitudes were at the
peak of their markets. They also believed that they would never
go down by any great percentages.
Sorry for the long response, but I believe that the public
is being led to the slaughter and I have a reputation for
speaking my mind.
Regards,
Dave |
