Good call, blew it away. May 2 closed at$7.69, Hit $7.35 intraday. EMC will be under $7 next week easy. Down 20-50 cents a day, no bottom in sight. How anyone can call this a strong buy is unreal. Who wakes up in the morning and says "I want to buy a stock breaking new lows, but the trend will reverse itself now that I own it" sounds stupid huh? Thats what some of you are doing. Buying it because you think "it must be the bottom" then you come to this board and try to pump it up with "strong buy" and bash the people that tell you to sell before you loose your hard earned money. You will also be the first (if your smart) to dump it after you loose some cash and come to the reality that this stock hasn't hit bottom, leaving all your buddies (fellow longs) holding the bag. Listen up longs, these are the chums you speak to on this board. I hope some of you are smarter than to listen to the B.S. they are pumping. Way too risky to be long right now. Wait until it makes a turn-around, and you have confirmation. Then go long. You may not get the entire up-trend, but you will have a much safer trade. This will be a long time away. EMC will have to have a few good quarters in a row, get back over ten dollars and get the institutional buying again. But before this can happen, the economy must turn around, EMC needs new product, etc, etc . So how long do you think that will be? My guess...2-5 years. So if you plan on holding it LONG term, back up the truck. Otherwise use your head. Just my opinion. Good luck.
A true bottom will be seen once emc creates a profit.
Until then, this stock will continue to slide.
6.00 is the next major support line. Let's see how it handles 6.00. If it breaks it, 3-4 is the next support.
For once, a short resorts to a cogent argument,
rather than some mindless name calling.
Since you ask, let me tell you why:
EMC has enough cash in hand to make this $7 level cheap compared to IBM, HP, etc..
IBM is trading at 4X book value
EMC is trading at 2X
IBM is trading at 2X sales, and have not had
any catastrophic quarters.
EMC has suffered for 3 quarters, after posting 40 successful quarters, and are still
only 3x sales.
IBM, because of their diversity, size, and inertia, will respond much more slowly when this thig turns around.
EMC has the capacity to benefit much more quickly when the tide turns, because it is more focused on their core business.
If you believe, as I do, that we have hit a bottom, EMC is a much better bet to make you money than IBM right now.
I am using IBM as an example, but you can fill
in almost any other tech co.
Obviously, it's a philosophical debate. If you want a safe place for your money, buy bonds.
If you are playing the market, better make sure
that you are not in over your head.
Anybody who is losing money in the market that they can't afford to lose is an irresponsible
EMC will easily bust through the new low tomorrow when the BIG selloff kicks in late in the day. Holders of EMC should cash in and use the $$$ to go on a nice summer vacation.
DUMP EMC FAST