Len - Re: Qualcomm
Qualcomm announced a spectacular quarter with great forward looking projections just 1 1/2 momths ago.
The stock went from the mid $50s to the mid $60s in one day.
Today, it has re-traced to the mid $40s!
My guess is that Qualcomm's "exposure" to foreign markets - they have oodles of CDMA contracts all over the world - Korea, Russia, India, South America, Kalamazoo, etc. - is tainting the stock due to the financial turmoil in these countries.
Long term, Qualcomm is a superb stock - bound to be a major winner in the global wireless telecommunications arena.
If you have a strong stomach - and long time investment horizon - Qualcomm is a superb investment.
But beware - global financial volatility will knock this stock around - but that seems to apply to most stock these days.
Re: AMD - I bought AMD a month or two ago at $17 1/8 - purely a speculative play.
AMD seems to be getting their manufacturing into acceptable conditions but they are hell-bent-for-leather trying to gain market share (B.S. for SALES) by any measure - which is selling their chips at prices that make little, if any, profit.
Right now, Intel's Mendocino/Celeron line may be devastating to AMD - as Intel drives down their Celeron costs and prices to REGAIN lost market share.
AMD is in for some additional turbulence as their financing is gawd-awful. Read their 10Q filings - they have all kinds of debt covenants that could be no end of trouble to AMD.
It also sounds like AMD doesn't even own their own headquarters anymore, judging by all the re-financing they have done - as described ad nauseum in one of their recent 10Q filings.
However, there are a lot of people out there that hate winners (read INTEL) and want AMD to succeed - and continue to throw money at the stock.
Do you feel really lucky?
Paul |
