Kirk Lindstrom

Verigy Primed For a Pullback Following Earnings

"Slightly lowering their FY08 GAAP estimate from $2.14 to $2.07. Reiterates Buy while taking target to $32 from $34.
.....
Notablecalls: I think the stock is primed for a fall."

At $25, the PE is 25/2.07=12
As an "original HP company" their accounting should be squeaky clean.
They sell mostly in Asia... what is the average PE for a company doing business in Asia that has to meet US SEC accounting rules?

I think the sell-off was insiders selling shares after the 1 yr lockup [ See VRGY Sell-off Reason ] then lemmings followed them down to $20.