QCOM
QCOM's results are in line and outlook a tad low. The stock was sold off by more than 10% last night after-mark
et trading. While it has recovered somewhat this morning, uncertainty remains. Most of analysts' comments this morning are fairly positive, and weakness in price is viewed as buying opportunity, although I noted that price target is cut by more analysts. I thought QCOM is a perfect illustration of this year's market where big tech growth leaders really suffered. Uninspiring earnings, tepid outlook, plus inflation and FED, result in severe multiple contraction. QCOM is considered a premium growth stock and it always traded at a significant premium. That premium is no more. At this level, it is just another large uninspiring tech name, like MSFT, INTC, CSCO, YHOO.
et trading. While it has recovered somewhat this morning, uncertainty remains. Most of analysts' comments this morning are fairly positive, and weakness in price is viewed as buying opportunity, although I noted that price target is cut by more analysts. I thought QCOM is a perfect illustration of this year's market where big tech growth leaders really suffered. Uninspiring earnings, tepid outlook, plus inflation and FED, result in severe multiple contraction. QCOM is considered a premium growth stock and it always traded at a significant premium. That premium is no more. At this level, it is just another large uninspiring tech name, like MSFT, INTC, CSCO, YHOO.
posted by ZIGZAG at 7/20/2006 08:59:00 AM
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