lol. your posting a year old article that references a 2004 occurence. that is funny. you do know that this already played out and that BRCM did get a piece of the video ipod i hope. generally that means the current stock price reflects that news. some times i feel bad taking in some of the easy money when stocks become blindly bought but not your piece of it this time.
you need to look around to understand that the market has successfully corrected almost every high PE stock in the past month. GOOG, AAPL, ISRG, WFMI, BOT, SNDK, almost every oil and metal stock this past week... have all gone through a 10% - 30% haircut. not all of these stocks will trade back to their previous levels as rotations take place. If you believe that BRCM is the only stock left that deserves a 68 PE this should be fun.
this stock will go down to the 50's.. it is a good company though so should make some or all of that back by years end.
Stocks do not correct just because they had good runs. Stocks correct when something causes the momentum to shift. GOOG and WFMI missed, SNDK has increasing competition from MU and INTC, AAPL was light on guidance and is going through a product transition. BOT seems to be just fine to me. Now if you look at BRCM, the earnings and the guidance are solid, upbeat. BRCM don't even have much competition. Until any of that changes BRCM will keep on going higher. The only corrections you will get are the brief 2 point pull backs.
AAPL's transition to wireless iPods will only mean more business for BRCM. (AAPL is not even using much of BRCM chips right now)
It was a forward looking article when published. It's all being materialized right now. We will very likely get some good news this week. With as many shorts in the stock as it there seems to be, price may easily jump much higher on any good news. News with AAPL will be rather huge.