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Tried to understand today's 6% drop. In Nov.11 First Call, earnings expectations for Y2007 are given quite low. From earlier company presentation: "It is expected that these cost savings (from reduction of workforce from Sept 28) will be reinvested in sales and marketing efforts during fiscal 2007 to increase capacity utilization". So I understand that losing position in the market forces them to spend marketing. So "... we do not believe the favorable cost savings from our reduction in force will significantly contribute to net income during fiscal 2007," commented Kimberly McWaters, President and Chief Executive Officer. So it seems the stock will level out for the next few months. It it the right time to add shares, or wait?
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