RE: Kent: What price on RMBS would cause you to like it again?
I have always had a fondness for Rambus and their battle seemingly against all odds.
As for investing and price, I only stay with options right now. 07 and 08 leaps (calls OTM, right now I have 07 20's and 08 20's).
I don't think you will ever see me buying large chunks of shares like I used to. It is way too risky and too unpredictable.
For me, it is not a price thing, it is a business thing. The volitility is way too high (beta is around 4.50).
I hope to see a day within the next 5 years when Rambus is no longer fighting their battles in court but, are negotiating contracts instead. I would also like to have the feeling that our government is on their side and that they have more positive press along with favorable public sentiment.
How will I know this? For the most part, it will be when docrew is posting stuff on new contracts instead of court dockets.
I hope to be around and have the money to invest when that happens.
There is another concern I have about Rambus and that is the gobalization thing.
They have plans to set up an office in Bangalore India. India is producing far more and I dare say, better engineers than we do. Same thing for China. The industrial and commercial market is slowly moving into those areas. They also have a much larger consumer market with rising living standards and government incentives more favorable than ours.
The business dynamics in the world are rapidly changing and the US may some day lose their competitive edge.
I urge you to read Friedman's "The world is flat". It is scary and enlightening. A must read for anyone who wants to know what the future may have in store for us.
Regards and good luck,
Kent
