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OCZ Technology (OCZ -18.8%) may be suffering from flash memory shortages, but its FQ2 warning...

OCZ Technology (OCZ -18.8%) may be suffering from flash memory shortages, but its FQ2 warning also speaks of execution and supply-chain problems, thinks Needham, which is downgrading the solid-state drive (SSD) vendor. FBN is also downgrading, arguing competition and soft demand are taking a toll. Pac Crest, meanwhile, thinks flash constraints will give manufacturers such as SanDisk (SNDK +8.1%) a chance to gain SSD share in the high-margin enterprise segment. (earlier)
Comments (2)
  • This is why SSD companies need HDD companies more than the other way around.
    6 Sep 2012, 02:08 PM Reply Like
  • Some of the most bizarre comments from analysts ever seen. Look if your supplier starts shipping 50% of expected amounts I'm not sure what OCZ could've done. The key will be whether competitors also warn of supply issues. If so, how can an analyst call it an execution issue?

     

    Even ignoring the fact that these analysts downgraded the stock at the opening price of $3.90 (don't let them play these games that the downgrades took place at the closing price), all of these reasons are off the charts moronic.

     

    FBN - competition and soft demand? Thats like calling the CEO a liar. With bookings exceeded expectations easily, how is it possible to come up with that reasoning?

     

    Pac Crest - no constraints existed in the enterprise flash so how would SNDK (did they mean STX?) gain share.

     

    Don't get how anybody comes to those conclusions from listening to the CC.
    6 Sep 2012, 02:53 PM Reply Like
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