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H.J. Huneycutt's
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I'm in agreement. You never completely know how consumer electronics products are going to turn beforehand, but at PALM's current price, investors are basically assuming that the Pre will have record sales and bring PALM profits *AT LEAST* twice as large (and maybe three times as large) as they made in some of the boom years.
May 21 06:49 am
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All Comments by H.J. Huneycutt »Three Strikes from Apple and Palm May Be Out [View article]
I realize the smartphone market is growing, but it's also crowded. Not sure how PALM earns enough to justify its share price even if the Pre is a success. And I'm not sure that consumers are dying to pay $300 for a Palm Pre on Sprint during one of the worst consumer environments of the past two decades.
I could be wrong, but it seems like a long shot to me. If I had to wager, I'd guess the Pre has good initial sales but then fades a little bit, but never really comes close to earning what current shareholders believe it will.