Dell (Nasdaq: DELL) is hitting multi-year lows and, at 16 times trailing earnings, is attracting value investors that have coveted the stock from afar for years. Some of this latest decline can be traced to the company’s recent downward revision of earnings estimates. And this is precisely the noise that a contrarian investor looks to capitalize on.
But are Dell’s problems short-term in nature? Though the valuation appears alluring on the surface, I don’t yet own the stock. Here’s why.
July 21, 2006 | Posted in Stock Analysis | Read More »
Every trade has a buyer and seller taking opposite sides. They often have different risk tolerances, time horizons, and beliefs about the direction of a stock. And before purchasing any stock, investors should build a good bull case that refutes the bear case. In that spirit, I’ll spend the next few paragraphs making both a bullish and a bearish case for Telecom New Zealand (NYSE: NZT – News), and I’ll let the reader decide which argument is more convincing.
July 2, 2006 | Posted in Stock Analysis | Read More »
