Based on my experience with loser stocks, it will be possible for this to drift down more - per beancounter unexplained claim.
However, big volume with a strong drop might also signal, finally, the bottom as the strong usher out the weak hands in response to the incongruent analyst report (thanks for the analysis darkgreen)
33 is still well above todays figure. I also did not see a time frame, so I will guess a year. If we were at 25 and grew by 8 to 33 in a year, that's about 33%. Not too bad a gain! Perhaps that is why it is still an outperform. From this new elevation, we are looking at almost a 50% gain to 33.
This analysts revelations seem to run counter to the Mel press release recently that they saw no drop off in ad revenue (sept 16):
"During a presentation at the NationsBanc Montgomery Securities investment conference here, Karmazin said he saw no signs of any slowdown in advertising spending. He also said he thought that CBS's diversified advertising base could give it an edge over its competitors. ''We have received not one advertiser asking us for release, to cut back. There could be something that would happen (with the economy), but I'm not seeing any sign of it,'' he said."
Is Mel Lying??? doubtful, or perhaps we have a lawsuit here.
Is the analyst wrong? Maybe
Is the analyst basing his evaluation on CBS or industry information?
Perhaps the analyst did not ask the right questions.
Time will tell, but I strongly doubt Mel would make the statements he did if not true. If advertising dropped off yesterday, it is too late to affect the current Q
Some manipulating going on here. Anypone know of the analysts track record?
Of course, all IMHO.
Dan |
