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God hates this
sector
<p>lt cap,</p> <p>With news like that, it
whets one's appetite to add to the position. A couple of things
that give me some caveats - I (really) can't recall</p>
<p>the long-term outcomes of share buy backs. Someone, whom I
can't recall, opined that it has a neutral effect in the end.
Wonder if that's so.</p> <p>Insider buying is
always better than selling, but INFN (losing another 3% today - the
whole sector keeps getting crushed) insider thought</p>
<p>it was a great value somewhere north of $10. How strange
it is to see it almost in the $7's, where it was before their
equipment ruled the space.</p> <p>And so far, the
buyback and insider buying isn't helping the stock. It's losses on
days like this are small, and it's gains on better day are
also</p> <p>small - it doesn't seem to have the huge
volatility of the other players. And the ML (or it was perhaps
another analyst) who used sound </p> <p>reasoning
thought that the savings from integration of ALU will be
overshadowed by other factors.</p> <p>Just being the
devil's advocate (or Cassandra) on this, as I can feel one leg
starting to move toward kicking myself later if I don't
nibble</p> <p>a bit here. </p>
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Jamok,
Disclosure before I go on: I bought 500 shares
today, I plan to continue to accumulate and plan to continue to do
dividend re-investment for at least the next couple of years.
I repeat that I am in this for the very long term,
admittedly, it will be a much longer term than I had envisioned, I
originally thought it would be 4 years’ total, it now looks
like a it will be 4 years from today. I remain convinced this will
pan out and deliver a $11 to $14 stock price over that time frame,
and higher if I can muster the necessary patience. At this
point in time, I am actually hoping the stock remains at these low
levels for another 6 months so that I can add a decent number of
shares to lower my cost average.
The company has a solid balance sheet. Yes, the main
business, i.e. the wireless networks division, has declined far
more than was expected, but it Nokia poised to become number one in
the time frame I am willing to wait. I believe that next year
will indeed be the low point from a revenue point of view, but
should also see the beginning of growth from a profit point of
view, this, because of the cost cutting. Am I right? Who
knows, I have missed the boat, but what the heck, I am likely to
right at some point, LOL. Even a broken clock is right twice
a day!
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Author:
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LongTerm
CapGains
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Subject:
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Off Topic
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Sentiment:
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Neutral
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Date:
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12/02/16 at 8:53 PM CST
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0
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