Another TRID Update - Almost dropping to $12
TRID has dropped from $16 to $12 in just 2 weeks.
What is going on?
PXLW released earnings that showed a large drop in sales.
Could be good news: TRID stealing more market share
Could be bad news: Sales prices could be dropping, leading to margin pressure
I think it's really PXLW specific with the potential to affect TRID very slightly (TRID does ~$100M per quarter vs $26M for PXLW).
There is also general semiconductor weakness (BRCM, for example)
I think sales for TRID will remain strong. The only bad news will be margin pressure or the entry of a competitor like a Broadcom. But is that enough to push TRID down to $12?
They will have ~$4 cash and now a forward PE of 8. Hmmmm, undervalued buyout target.
I am looking at the options. It seems that the April 08 calls are ~8%. Which is higher than I would expect for an unloved stock.
The $15 are $1.40. I am looking to buy them today. Will check again around 12:30.
What is going on?
PXLW released earnings that showed a large drop in sales.
Could be good news: TRID stealing more market share
Could be bad news: Sales prices could be dropping, leading to margin pressure
I think it's really PXLW specific with the potential to affect TRID very slightly (TRID does ~$100M per quarter vs $26M for PXLW).
There is also general semiconductor weakness (BRCM, for example)
I think sales for TRID will remain strong. The only bad news will be margin pressure or the entry of a competitor like a Broadcom. But is that enough to push TRID down to $12?
They will have ~$4 cash and now a forward PE of 8. Hmmmm, undervalued buyout target.
I am looking at the options. It seems that the April 08 calls are ~8%. Which is higher than I would expect for an unloved stock.
The $15 are $1.40. I am looking to buy them today. Will check again around 12:30.
posted by Andrew at
11:09 AM
1 Comments:
trid down to 11.26 AH.Do you suggest buying options at this point of time.I was also looking at apr 08 $15 call.Please update us if you buy any.
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