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No. of Recommendations: 5
I think this is why some are confused ( and it appears that some are ).


Stock prices don't always move in lockstep with corporate superiority. Eventually, they will probably react and catch up, but there can be a lag between a company establishing itself as superior or, better still, a Gorilla, and the market appreciating that reality.

To say that "the stock price tornadoed last year" is to use the term in a manner not intended by those who originally coined the expression. The Tornado describes a market phenomenon, a period of time during which demand for the products from a group of companies becomes rabid. This is where market share is the prize to be won, and from this Tornado may emerge a Gorilla...or not. Possibly, a dominant leader will emerge, but one without proprietary control of the market...a King.

All of the aforementioned occurs independent of stock price consideration. Once the Gorilla or King is identified, if such a dominant leader exits the Tornado at all, then the stock price of that leader will likely appreciate, as did QCOM's last year.


With wireless high-speed Internet access ahead, there might be a new storm brewing...


rex
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