The cc just ended. From its inception STEC has never had
a quarterly announcement so powerful. A major pc maker, gonna be either Dell, HP, or AAPL is looking to incorporate the new technology into their designs, and as the ceo stated, STEC has more than `100 engineers working to customize and enhance the product. Samples are being met with "rave reviews" and customers are asking for larger
samples. "We are a year or two ahead of the competition".
The company will be profitable in 07 and in the 4th qtr the
sales of Zeus IOPs will accelerate revenue and operating margins.
Watch the stock soar a point or two tomorrow. The after
hours action today is a setup. If for some reason it goes
down it will be a screaming buy. Gift of the year.
Repeat: In talks with a major pc maker.
I agree that the cc was much better handled than last time.No question this is a long term bet. In a couple of years this will be rockin'. How far will it go down before it goes up again, I haven't a clue.But if you're willing to hang on if it dips to the 4's it will probably recover towards the end of the year.
Dips into the $4's! I am laughing so hard right now I almost fell onto the floor. You shorts are absolutely hilarious. Let's see, in the $4's the stock would be valued
at $200 to $250 million range, now we'll back out the cash, so I guess the naked company is worth what, only $100 to $150 million.
And the company is going to make $20 to $30 million this year. If the merger doesn't take place first.
This is the kind of humor that keeps you in the game.
There was no press because it was just announced. No details or identification of the party who is conducting strategic talks with STEC. Per ceo, hopefully in a month or two we will have more details.
You hedgies who sold short going into the cc crack me up.
Oh it is going down tomorrow. They beat earnings substantially and the news has never been better. At today's close, back out the cash and you buy the whole company for $290 million. Show me another company on the Nasdaq with this profile about to experience a dramatic growth phrase, I want 10K shares.
No debt, $100 million in cash, and in talks with a major PC
maker. Dell announces $1.5 billion friendly union with STEC. But then if I were to bet on it, I would say it will
I agree Q4 and onward looks good, but mark my words STEC will get hammered tomorrow.
Even the execs on the call sounded liek whipped dogs when they started.
And I firmly expect at least one downgrade, to boot.
All in all it adds up to a good entry point.
What about the part "DRAM & flash component prices down 50% since beginning of year", and CEO says price elasticity (lower prices greater volume sales) takes a while to kick in. "Largest customer of DRAM working through abnormally high inventories" won't be purchasing for quite a while, .
I hear you on the SSD future but sounded like we won't see any of that impact until 2008.
Long term great, this quarter???