Hello all, As I'm sure most of you saw, Microsoft (MSFT) gapped down almost 12% on 7/19/13 due to poor earnings. I've been looking at this stock with the idea that, at least over time, the stock should rise back up to pre-gap levels (34 - 36). Assuming everything goes alright with Microsoft, and their next earnings isn't as disappointing, would I be correct in thinking this? Instinctively, I would go long on MSFT right now, what do you guys think? And if it is the case that MSFT is bound to move back upwards, how far and in what time frame would be most likely?
We are in the second recession of a Depression. You may have heard about how econometrics works. In a depression if a company does not do well, its EPS and RS fall.Only consider stocks with RELATIVELY HIGH percentile group ratings. there are five other filters to use as well. People who bet and hope only make 20 to 50 % annually.
What would lead you to assume that? Ballmer is still at the helm. Windows 8 has met with a sort of: "eh?" They seem to be a day late and a dollar short to pretty much every thing they try.
Although Microsoft has seen better days, they still are a powerful business with enough diversified products to assume they have the ability to do well. But, to be fair, I would either try to trade before or after the new Xbox is released. I feel like the new Xbox may flop, and it may ding their stock quite a bit. But just think, they're bound to come out with another OS at some point in the near future, and it's going to be an odd numbered one.