MB, Great initials. <G> The pre-announcement did not surprise me, but the reaction in the stock did. As a non-Christmas quarter, the June quarter is subject to higher costs to sell home video games. The move to more in-home products is a potentially gangbusters switch, but there are some transition problems. I think they will solve them and get profit growth back on stream this year.
I don't think you or I am missing anything. I do think I underestimated the skittishness of my fellow WMS shareholders. They seem to think any bad news is a disaster, but the valuation of this stock is extremely low for the 25 cents number, much less any opportunity for growth.
I pay no attention at all to TA, so I won't comment on that. I hate to see my growth plays become value stocks, but I am buying a final third of Midway today. Compared to its main competition, ERTS, this has got to be the greatest bargain around.
Good luck,
MB
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