At least you have stopped babbling about a chinese currency devaluation.
Do you really anyone to believe that Intel's problems this quarter will affect CUBE? For this past quarter i doubt the Intel business has any significant effect on CUBE.
Since you like to cite Barrons about the Intel situation; how about a quote from Eric Savitz's "Plugged In" column in the 3/9/98 edition;
"Now, there are two possible explanations for why that's happening. PC makers might be working down high inventories -- certainly, Compaq on Friday said it was doing just that. That explanation would be good news; work off the excess inventory, and things get back on track. And certainly, there has been concern for several weeks that some PC makers, Compaq in particular, have had too much inventory in the hands of third-party distributors. Alternatively, it's also possible end-market demand has simply softened, or at least shifted to the low-priced end of the market. That obviously would not be such good news."
As even you, Rarebird, know, CUBE is well positioned to take advantage of the shift to lower end PCs. Therefore even in the worst case scenario, as described by Eric Savitz, CUBE's earnings may not be adversely affected. |
