Will the SUNW shine again?

[heilbronner]

Seems that sunw is getting pounded like a piece of meat. The more it falls, the more attractive it becomes to me. Cash @ about $1. So downside shouldn't be more than $2. My last cash per share related pick was a long in GLW.
Also think that stocks, like cats, have many lives.

 

[nitro]

I just don't get this stock. It has $2B+ in Revenues, but only around 2.5M in profits????

Something smells there...

nitro

 

[Ron In-a-sauna]

Quote from nitro:

I just don't get this stock. It has $2B+ in Revenues, but only around 2.5M in profits????

Something smells there...

nitro

i was looking at that too nitro, that does STINK!! although one thing that is tough to fudge is cash and they have what 2billion, book at $1.5.. if you buy it you should write calls on it and have lots of patience to watch it in pennyville for at least a few years, but certainly they will be a survivor.... still there are better bargains out there.... imo

 

[lsudaytrade]

just another LU in the works...

 

[swoop[TR]]

SUNW is dead. Linux and Microsoft have killed it. The sun will never rise again. I would be short.

 

[plumlazy]

Quote from heilbronner:

Seems that sunw is getting pounded like a piece of meat. The more it falls, the more attractive it becomes to me. Cash @ about $1. So downside shouldn't be more than $2. My last cash per share related pick was a long in GLW.
Also think that stocks, like cats, have many lives.

Yea GLW's comeback from 1.10 area to over 6 bux was a real good move.

So was AMZN's from 6 ish to over 27.

Maybe you are on to something with SUNW. It might do the against all odds thing too.

If it gets back over it's 200 ma it might at least see 4.50 again.

Hard to say though - stocks under 5 bux are there for a reason.

 

[AAAintheBeltway]

heilbronner,

What's your timeframe here? And what's the catalyst?

 

[omcate]

Quote from swoop[TR]:

SUNW is dead. Linux and Microsoft have killed it. The sun will never rise again. I would be short.

I have been using SUN's workstation since 1987. Unfortunately, I have to agree with you.

 

[heilbronner]

Quote from AAAintheBeltway:

heilbronner,

What's your timeframe here? And what's the catalyst?

Timeframe: Can't say, maybe 1 year, no hurry to jump in at once.

Catalyst:
1) they have cash
2) they will be there at least for the next few years, a survivor
3) lots of profit warnings and disappointing results already out, so also little good news can generate some serious upside movement.
4) you can play good option strategies with SUNW, e.g. covered call writing or cash- secured put writing
5) know a guy who hang in SUNW from the $60 area all down to $3. This guy gave me a call recently that he gave up with SUNW and told me that this is a dead cat.

But, for sure SUNW is probably not the single best idea.

 

[heilbronner]

Trade seems to work out. Already 30% in the green and ready to let the profits run.
As mentioned, most stocks have many lives. Let's see if history repeats itself.