Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Any info about Iomega (IOM)? -- Ignore unavailable to you. Want to Upgrade?

To: Rocky Reid who wrote (50446)	3/17/1998 3:07:00 PM
From: Kevin Linder	Read Replies (2) \| Respond to of 58324

One thing you forget -- IF stock falls to a level less than what your brokerage allows for margin then you must BUY the stock and cover your short. Thus creating a new class of buyers.

To: Rocky Reid who wrote (50446)	3/17/1998 8:00:00 PM
From: FuzzFace	Respond to of 58324

C'mon Rock, No one can "prove" where IOM's stock price will go. But now that it is losing money, it is possible the street will treat it like the other money-losing removable disk company, SYQT, and leave it to languish at 6-7 until it shows "promise" again. Does this have to be? No. But consider the way the street often works. The other DD stocks at their peak last year all had low PE's. That was the street's way of discounting their volatility. Now that they are all losing money, are they going into single digits? No. Why not? Because the street is a forward-looking discounting machine. It doesn't apply the same formula to different sectors, stocks in one sector, or even the same stock during different parts of its business cycle. It is a bunch of people like you and me, all trying to out-guess each other. All the easy short IOM money has been made. Stick to AOL. It's starting to show some weakness. BTW, I really enjoyed the way IOM went up 3.5% today in response to the downgrade. Those analysts really do themselves proud, eh?