You win some, you lose some. That's how shareholders of Alcatel-Lucent
On the heels of landing a major supplier contract for AT&T's
The stock tumbled by 12% on Thursday on a generally positive market day. Rivals like LM Ericsson
Alcatel's stock is still up a market-beating 60% over the last year, but down by a soul-crushing 78% in the past five. It's enough of a thrill ride to make Spider-Man reach for the antacids. I recount the recent history of Alcatel-Lucent to my kids every Halloween. (OK, I don't. That would just be cruel.)
It takes a daring investor indeed to jump aboard this bandwagon, and a two-star CAPS rating hardly inspires confidence, either. But the global market for next-generation wireless network equipment represents enough of an opportunity to outweigh weakness in other sectors, and the AT&T deal proves that Alcatel has what it takes to land those crucial contracts.
So I think that yesterday's drop could be a fine buy-in opportunity. AT&T and Verizon
That's my two cents. What do you think?
Fool contributor Anders Bylund holds no position in any of the companies discussed here. You can check out Anders' holdings and a concise bio if you like, and The Motley Fool is investors writing for investors.