Jerome,
They're throwing out all of the semi stocks. Some are selling either at or below cash value, not book, but cash. Assumption, I suppose, is that they are going to be burning that cash in the tough times ahead. See ASYT, trading below 7 with more than $7/share in cash. Many are falling to or below book. Great companies, I'm talking about. Not unproven companies, but established leaders. See TER, DPMI--leading companies in their niches. Getting slaughtered. See SCI, trading at a PSR of under .2. See the whole ECM sector, in fact, for low PEs, low PSRs, high growth rates. Getting clobbered on the assumption of a slowdown in future business.
SNDK isn't alone. We're seeing, I suspect, some early tax loss selling which is setting up to buy sometime after the Nov. election getting reading for a heady last half of Dec., January rebound. Keep your cash if you can. There will be money made eventually.
IMO.
Best wishes,
Sam |
