Replies to post #982 on Skyworks Solutions Inc. (SWKS)

[bar1080]

The NASDAQ-CM has done fabulously this past year or two, suggesting that money is moving into highly speculative stocks.

Unlike pennyland, you can track those stocks via the ^rcmp average. Since mid-2007 the S&P 500 is up 67% while the ^RCMP is actually down 18%. If you count dividends the S&P500 looks even worse.

Those lowest tier NASDAQ stocks should be avoided. From 2007 to the depths of the Great Recession those stocks were off immensely. And few pay dividends.

That average didn't exist during the dot com bubble period but many such stocks fell 90% in 2000-2002. Note that SWKs peaked over $70 in 2000 before falling to $3 in 2002.

This stuff can get ugly. But I'd argue that SWKS is a very different company now.