RE: After hoursI have been expecting a profit warning of some degree for about a week now. Wasn't sure how bad it would be. Almost every company in the wireless sector has been warning this Q. Why should SW be any different? It is the sector and the general environment for Telecom stocks. It is in no way specific to SW. The price fell from about $43 to below $25 in about 3 weeks on no news. Obviously many saw the warning coming. I sold some on Thursday because of my suspicions.
While the warning is not exactly minor, it is not as bad as it could have been. I think it is priced in to some degree. I still hold some and still love the intermediate-long term outlook for the company/stock. I think the pain will be relatively short lived. I will not be selling and if it falls much more then I will be adding. The company is solid, has a strong balance sheet, is a class act, has a great customer base & a very bright future. IMO 80% of the companies out there giving harsh profit warnings are in big trouble but SW is one of the 20% that are in good shape to have a strong recovery when things improve. All JMHO, Cheers!!!