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Technology Stocks : WDC, NAND, NVM, enterprise storage systems, etc. -- Ignore unavailable to you. Want to Upgrade?

To: bigchad who wrote (3383)	12/13/2017 8:29:39 PM
From: Sam	Read Replies (1) \| Respond to of 4833

So this is confusing to me: WDC was clear to mention on its slide deck that STX or Hynix will not have voting rights or control of TMC for at least 3 years What happens in three years? Will Hynix then have legal access to the jewels in the Sanshiba kingdom? Will they be able to learn and use WDC's and Toshiba's process secrets? Frankly, to me, that is the big deal. Hynix cannot be trusted. They have SKT's money and ambition behind them. If the answer to above question is "Yes," then S.A. is correct, this deal is likely to bite them in the butt at some point.

To: bigchad who wrote (3383)	12/13/2017 9:00:24 PM
From: SiliconAlley	Respond to of 4833

The agreement to participate in funding Fab 6 is the “most important” element, writes Chan, as "we are no longer concern about the longer-term supply of low-cost 3D NAND availability to WDC." You heard it here first. Long term supply has been the whisper that led to massive institutional distribution up in the 90's. Only one analyst (Cowen) was willing to publicly talk about it. When there's a reason institutions are selling, they don't announce it in the press, but sell to the uninformed bargain seekers. The name of the game is to hold stocks that are devoid of major downside risks, and sell to someone else when the risks are there. The successful investor does not try to buy at the bottom, but rather to buy at low risk entry points. As with card counting in Blackjack, you bet big when the odds are in your favor, and walk away from the table when they're not. Not an exact analogy, as you can't really walk away from the Blackjack table, but just reduce your bet size until the odds are back in your favor. Win big, lose small. The stock now lacks the significant downside risk it did before the settlement, but the upside is no longer as rosy as it was prior to the dispute. You can bet your bottom dollar that WDC has some major pain ahead, stemming from participation of both Apple and Bain. WDC did what was necessary to survive their debt load, but they will pay dearly for that in the future.