MSFT to $10?

[SCI new york]

Quote from ByLoSellHi:

Google Docs and Open Office, along with Cloud Computing spell the impending death of Mr. Softy.

Sure, MSFT will milk another several billion out of bundling Windows 7 with the next gen PCs, but it's lights out after that encore.


Stick a fork in Microshit.

Besides the fact that all of your posts are filled with idiocy and no facts, I truly believe you're a moron. I want you to play in traffic.

There will be no death of MSFT you child. Stop your incessant rants of retardation. Learn the definition of a fact and stop pretending to be a trader, and a knowledgable one at that. It shows in every post you have that you are not.

 

[dbell66]

In the short term, who knows where this market will send the price...

I like the company longer term and just bought another 5,000 shares at $15.50

MSFT has a bombproof balance sheet and generates a ton of cash.
Sure, peering into the murky future is even more difficult with tech companies than normal, maybe new technology comes along or a killer competitor jumps out of the dark but MSFT has the cash and management to stand a good chance of adapting and fighting.
its cash flows are not going to go to zero anytime soon.

At a FCF/EV yield of 15% its pretty good value.

If it goes down further, i'm buying more!

So i hope the op is right!

 

[reiser999]

The problem with Microsoft is that it only exists by the permission of the US government. In fact all major DMCA backed initiatives are only somewhat enforced abroad due to pressure from the US government.

Microsoft is a terrible long term investment, eventually the dollar's purchasing power will dwindle due to excessive money printing and US influence will wane. The EU has been wanting to breakup Microsoft for a while, and the Chinese are only concerned with piracy by request of the US government. After the US becomes a lot smaller relatively due to the fundamental changes coming in the global economic system, foreign countries will have a lot more control in the system and breaking up an American software giant or at least openly pirating their software will not go beyond their power.

Most countries around the world are not capitalist democracies like the US. The state government often times has a lot more authoritarian control and lasseiz faire capitalism is not allowed domestically at least. RIP MSFT

 

[Kassz007]

Quote from reiser999:


Microsoft is a terrible long term investment, eventually the dollar's purchasing power will dwindle due to excessive money printing and US influence will wane.

Why will the dollar's purchasing power dwindle due to excessive money printing? If the other major economies are also excessively printing money, won't the USD theoretically remain at the same level vs. these currencies?

 

[DataCruncher]

although valuations are compelling, it is hard to figure out how they are going to replace all the lost revenue from the growing open source movements, net books, free office software, and other factors which have commoditized their core businesses

by the way, how much of Gates' wealth is still tied up in MSFT stock? I'm surprised his wealth hasn't declined more from the crash in MSFT price

 

[reiser999]

Quote from Kassz007:

Why will the dollar's purchasing power dwindle due to excessive money printing? If the other major economies are also excessively printing money, won't the USD theoretically remain at the same level vs. these currencies?

Well there is a large difference between the US dollar and the other major currencies. Right now the US is the dominant player in the geopolitical arena, they can invade any defenseless country (Iraq, ahem) they want and get away with it. What is happening is that the US as whole will have less influence on world affairs due to a relative decline in their purchasing power specifically, so some other countries will have their purchasing power increase relatively and be more influential.

The main reason why credit was so easy in the US particularly is due to an excessive debt appetite. Once consumers and business start to accrue the losses for their 'bubble' investments there will be a chain reaction so large that no stimulus may be able to stop it, it has already begun on the consumer side, the business side will be much worse think of highly leveraged commercial real estate debts maturing later this year. Remember many other countries in the world have high savings rates and can afford their stimulus plans, the US only has Bretton-Woods on their side.

 

[JSSPMK]

Quote from dbell66:

In the short term, who knows where this market will send the price...

I like the company longer term and just bought another 5,000 shares at $15.50

MSFT has a bombproof balance sheet and generates a ton of cash.
Sure, peering into the murky future is even more difficult with tech companies than normal, maybe new technology comes along or a killer competitor jumps out of the dark but MSFT has the cash and management to stand a good chance of adapting and fighting.
its cash flows are not going to go to zero anytime soon.

At a FCF/EV yield of 15% its pretty good value.

If it goes down further, i'm buying more!

So i hope the op is right!

Quote from Lawrence Chan:

One interesting thing I have read this morning is that there are too many shorts (short interest is too high?) and that the sentiment is too bearish, therefore a bounce or even THE bottom is in sight.

That reasoning is wrong.

In 1998-2000, it is proven, once the public is empowered with the ability to trade like the rich or connected, they can move the mkt in a way totally different from what people usually expect. It took 2 years of momo trading to push the indices all the way up, where most bears, MM, etc. were burnt very badly.

We are seeing exactly the same thing now, public put their future into their own hands, and vote with their trades. With enough people doing that, a 2 year momo trading moving the market down to monthly oversold level is to be expected, isn't it?

Plus, massively layoff, etc. as mentioned by Spec means the only way to get real cash to meet everyday needs, is to sell something you can unload now, like bonds, stocks, etc. in the (retirement) accounts.

Check out 1:90 onwards re: - stocks

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[princetontiger8]

Disagree

 

[new$]

I have an old Sony 390 notebook that I use as a lab-personally replaced the LCD, HD, expanded the ram to 256k etc. My thinking is, if software works on this it will work on the new equipment. It shipped with Windows 98 and I installed XP a few years ago but was slowed by memory although was more stable than W98. I spent days finding drivers. I’ll be 70 years old this year and am not a techie but do like to explore.

Anyway I downloaded a free copy of Ubuntu [Linux] thinking it would be a real problem finding drivers etc. for the old P-3 notebook. To my surprise it went perfectly-felt like it was shipped with the notebook. About halfway through the install it said it needed to contact the Ubuntu servers so I guess it was finding and downloading drivers.

For me it was an eye opener. Microsoft is counting on people like me to believe that I must stay in the Windows denomination and its dangerous to dabble in Linux.

I agree that Google, Open Office, the Cloud and Linux are like a train wreck in front of MSFT. They need to engage Linux with a $50 entry before sheeple find out they can get it free online or in a magazine at Borders and that its easy to install and stable.

 

[KrispyKreme50]

Quote from DataCruncher:

although valuations are compelling, it is hard to figure out how they are going to replace all the lost revenue from the growing open source movements, net books, free office software, and other factors which have commoditized their core businesses

by the way, how much of Gates' wealth is still tied up in MSFT stock? I'm surprised his wealth hasn't declined more from the crash in MSFT price

Bill Gates has been selling his holdings in MSFT monthly; I believe he now controls less than 5 percent of the company.