Shares of Vonage tumbled to $3.00 on Friday after the courts ruled against them.
Is anyone looking at this stock as a bargain, or is this now a stock that is too much of a gamble?
2007-03-25 13:52:14 · 6 answers · asked by bluefrog 3 in Business & Finance ➔ Investing
There is a stay on the ruling but unless there is a reversal Vonage and it's clones are screwed. At least the present business model is. To continue they would have to reach agreement with the land line phone companies which will raise their costs and not coincidentally reduce the profits. They have nothing to offer in any merger or acquisition move. The customer base is more likely to return to whoever their local provider is so buying the revenues would have a weak loyalty factor.
2007-03-25 14:16:01 · answer #1 · answered by gatzap 5 · 1⤊ 0⤋
Pass.
A cheap stock can get cheaper. So far Vonage is poison and people holding since the IPO are bleeding. You want to buy into strength; not weakness. Wait for a positive trend to develop and then review it again.
Bottom picking is impossible and fatal to your financial health. Hope that helps. =^.^=
2007-03-25 15:26:00 · answer #2 · answered by Mouse 4 · 0⤊ 0⤋
Pass. Aren't they in litigation with Verizon?
2007-03-25 14:46:28 · answer #3 · answered by chris 3 · 0⤊ 0⤋
Lot of better opps around. At best a neutral play.
2007-03-25 14:04:05 · answer #4 · answered by vegas_iwish 5 · 0⤊ 0⤋
It's a buy and hold. A takeover could be in the making.
2007-03-25 14:14:09 · answer #5 · answered by Anonymous · 0⤊ 0⤋
pass
2007-03-25 14:26:50 · answer #6 · answered by franksprung 3 · 0⤊ 0⤋