On the topic of what will happen to stock price:
I personally do not want to predict the stock price over the next six months. I am a long term fundamental investor and since I do not plan to sell my shares in the next six months, it's price is almost irrelevant to me over the next six months.
“Almost irrelevant,” I wrote. If the price drops to reflect historically low p/e levels I will buy more, as I did several weeks ago! Actually, I WANT the stock to drop in price because I want to buy more. This is a very good company in my opinion and I really want to pick up some more ownership.
To paraphrase Mr. Buffett, if I really want to buy hamburgers I should want the price of burgers to drop, not rise. If I am a net purchaser of hamburgers--as a long term investor a distance from retirement, I am a purchaser not a seller--I should be disappointed if the price rises. If I was at retirement age and wanted to raise cash, then I'd be happy for the stock to rise.
Here's hoping JDS goes back to 22 so's I can get more!
With the earnings picture (current and predicted), I'd be comfortable buying again at 25. What do others have for their target price?
Ciao,
David Todtman |
