You obviously know nothing of the American Consumer. We have consistently traded quality for price ever since china offered up their entire population as a slave work force. Keep dreaming pal, CREE is heading south
Stupid mistake trying to catch this on a bounce. I sold it twice this morning, switching from long to short position. If there is one thing the semis have taught us over the last 2 decades, it is that competition crushes margins in this space. CREE is in serious trouble from cheap competition. Pricing power is the most serious problem a one-line company faces .. 3-handle soon. This stock easily has $20 in share price to give up.
completely agree. The smart money is heading for the exits in all stocks going into year end correction .. and pigs like FB are going to take the biggest hit.
You have to be kidding me. If this stock were $75 per share it would be trading at nearly 20 times 2014 revenues. Not earnings, revenues! By that valuation, AMZN would be over $3,000 a share and have a market cap of about $1.8trillion. Do you think AMZN is under valued too??
perfect scenario for this maneuver with FB .. overpriced tech pig with no sustainable growth prospects.
uh, yes, I have a question. Since when is $4/share in projected 2014 TOTAL REVENUE for a $46 stock considered "fantastic"
I know! Its like the stupid idiot morons who post essentially the same post back-to-back using different aliases, like you just did .. clown
The breakdown will really accelerate once it takes out $45 .. so says Guy Adami. He is not always right but he has had a hot hand lately .. that is why I bought puts.
AMZN has a cap of $168billion and 2014 revs of $91billion. By your FB valuation (25x 2014 revs), AMZN should have a cap of $2.28trillion and a share price of $4,980.
really .. a $250billion dollar market cap for a company expected to have $10billion in revs and $2billion in earnings in 2014. Good luck with that.
I don't think so .. he has a better shot at revenue growth than FB
Any "value" (and I use the term loosely) here is priced into the stock by a multiple of 7. They are facing competition from all directions, margin compression as advertising rates drop, all while their user base is eroding. Facebook was a hula-hoop fade and they cashed out right on top ,, FB stock is destined for single digits while they burn off IPO cash .. then disappear.
valuation in BIDU is F tarded
The reality is that this is bad, worse than I thought before reading the CC transcript. This down move will be a buying opportunity but it is going to be more than a 1 day event. I would look to get long after a capitulation day, which will probably be next week and involve a single digit handle and 15million share volume.
this is the oldest article I could find referencing STX buying FIO..
Fusion-io Inc. (FIO), a long-speculated takeover target, may be Seagate Technology Plc (STX)’s ticket to catching up with Western Digital (WDC) Corp. in flash-memory technology.
Shares of Fusion-io rose 26 percent after Western Digital said this week it’s buying smaller competitor Virident Systems Inc. for $685 million. Fusion-io, which counts Apple Inc. and Facebook Inc. as its top customers, would give Seagate a stronger position in flash memory, a preferred technology for cloud computing because it provides faster access to data.
Fusion-io is “a prime candidate and there’s a good chance it could get taken out,” Andrew Nowinski, a Minneapolis-based analyst at Piper Jaffray Cos., said in a phone interview. “Western Digital is making all the right moves and, conversely, Seagate really hasn’t made any. Certainly this deal adds to the scarcity value of Fusion-io.”
Seagate Chief Executive Officer Steve Luczo, who said he’s on the lookout for acquisitions to meet demand for cloud computing, now may be pressured to bid for Fusion-io, FBN Securities Inc. said. While Fusion-io’s $1.3 billion market value makes it bigger than Virident, it trades at only 2.5 times sales, according to data compiled by Bloomberg. That compares to the at least 6 times sales that Western Digital is paying for Virident.
Today, shares of Fusion-io rose 12 percent to $14.64 for the second-biggest gain in the Russell 2000 Technology Index.
Seagate, which makes storage devices, is determining where it has holes to fill and what to potentially buy, Luczo said in a Sept. 9 interview at Bloomberg’s New York headquarters. He also said there’s a bubble in the valuation of cloud-storage providers, which could present buying opportunities when it deflates.
“We do need some technology that we don’t have on the software side,” Luczo said. “When do you buy it and what you pay for it is a different question. Right now it seems a li