The market had a down day yesterday. Were your stocks among those affected? Let's see whether they had good reason to tumble, as sometimes panic-fueled declines can actually lead to excellent buying opportunities.
Well, that was close
Maybe, as some news outlets suggested, it was the restructuring announcement by Staples that led Radio Shack
What I'd like to know is who it was that dumped such large amounts of stock that drove the price down in light of the news this morning that Radio Shack's CEO was quitting -- immediately -- to help foster the turnaround so desperately needed at the electronics chain. That sounds like a more reasonable cause for the plunge ... except that it came a day ahead of time. Did someone have a heads-up on the announcement?
Certainly Radio Shack, like rival Best Buy, has been hurt by the sluggish economy and the reluctance of shoppers to splurge on consumer electronics. Although tablets and smartphones have been hot, and both outfits have made a concerted effort to be part of the trend, they tend to carry slimmer margins, which doesn't help the already constrained retail chains. Yet the departing CEO was supposed to turn things around when he took the helm last year, and his exit underscores the difficulty he had in operating in the current environment.
While fresh blood can sometimes provide new perspective, the plummeting stock price ahead of the news means some investors are left bloodied while others managed to escape just in the nick of time. Let me know in the comments section below if you think it's just coincidence Radio Shack should plunge right before a big shakeup in the front office is announced.
No flash in the pan
It's not of the same immediacy as Radio Shack's CEO resignation, but solid-state-drive maker OCZ Technology
According to OCZ, the dearth of flash memory is hurting its ability to produce the drives. While chipmakers Micron
Third-quarter earnings are due up next week, so we'll see whether OCZ still has the financial wherewithal to withstand the shortage. Offer up your own opinion on OCZ Technology future in the comments box below.
Running out of power
Apparently the iPhone 5 isn't the juggernaut analysts touted it to be. They called for 6 million to 10 million units to be sold in the first weekend of availability, 50 million by year's end, and 250 million over its life, So when Apple
We'll see how that plays out for InvenSense
What likely sent InvenSense's shares 12% lower yesterday was its removal from the Nasdaq Smartphone Index, which tracks companies that build and design smartphone handsets, hardware, software, and mobile networks. With additional eligibility requirements for market cap and volume of shares traded, InvenSense apparently fell below the thresholds.
I'm still bullish on InvenSense, but let me know below if you think its future is tied to Apple, even if tangentially.
Ready for a resurrection
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