Rough couple days for Clearwire but things will turn around in due time. For long term investors who bought in at higher levels (like me) read the following link and realize 2009 will bring better times.
Below writer Bob Faulkner, expresses my exact feelings. (Build it and they will come).
From an investment perspective there is only one thing that I want to see and that is Clearwire’s management team executing to the plan that they have laid out in the past. Management has commented for sometime that it wanted to hit the ground running and a quick scan of their job postings suggests that that is exactly the case. A number of weeks ago I highlighted to subscribers of The Telecom Connection that Clearwire was searching for network implementation staff in Dallas, Denver, Houston, Los Angeles, Miami, San Antonio, and San Francisco. That list has since expanded to include:
Austin, Texas Orange County, Calif. Baltimore and Washington Orlando, Fla. Boise, Idaho Oxnard, Calif. Boston and Rhode Island Philadelphia Chicago and Wisconsin Phoenix Cleveland Pittsburgh Colorado Springs, Colo. Riverside, Calif. Connecticut Sacramento, Calif. Detroit Salt Lake City Fresno, Calif. San Jose, Calif. Jacksonville, Fla. Spokane, Wash. Lakeland, Fla. Stockton, Calif. Minnesota Tacoma, Wash. New Jersey Tampa, Fla. New York City Tennessee North Carolina Western Pennsylvania and New York Ohio-Kentucky-Indiana West Palm Beach, Fla.
Obviously, they weren’t kidding!
From where I sit, this is much to do about nothing, and courtesy of one sell-side firm or a worried investor, the stock is far less expensive than it was on the previous day. It’s certainly a speculative stock, not for the faint of heart or those looking for the quick buck. But when you consider the fact that the company’s partners invested based upon valuations in the $17- to $23-per-share range, current buyers on the open market are being given a huge discount. We’ll have to wait and see if that plays out in the longer term.
Position: The Telecom Connection model portfolio is long CLWRD
The shorts are trying to shake loose the weak hands and seem to be succeeding. There is NO reason to sell at these levels. A month from now, the board of directors will meet for the first time and embrace new plans and initiatives....Then we will see announcements and advertising and products. 12 million shorts need to cover somewhere between here and $0......There is a lot more risk to them than to the longs.