Commentary From The Stock Masters 3/22/2007

Micron Technology (MU) shares have fallen over 33% in the last six months. Shares of Micron are in the $11 range and flirt with a new 52-week low on a daily basis. It’s no surprise though considering the flash memory sector is hurting, just look at SanDisk (SNDK). Micron is to Boise, ID like Boeing (BA) is to Seattle, WA.
Micron got an Upgrade on March 12th by Citigroup Investment with the expectation that DRAM prices will stop falling soon. They decreased the stock’s 52-week price target to $15.50 per share from $17.50 per share. Micron has been around since 1978 and they manufacture & market DRAM, Flash memory, CMOS image sensors, other semiconductor components, and memory modules. Think they can pull out of their slump? Might be worth thinking about.

Look at the Rack go! Rackable Systems (RACK) shares are up 9% today. There is a rumor that Sun Microsystems (SUNW) is looking to buy them but that is unconfirmed and could be just as much hype as yesterday’s CNBC Exclusive interview with the unnamed Palm Shareholder (Mr. Secret Club Guy).
By the way, have you checked out Palm today (PALM)? Shares are down almost 9% but don’t worry, I’m sure that buyer is coming any minute, just tune into CNBC. Back to Rackable…
They did make news today and hired a new Executive Vice-President, Carl Boisvert who has more than 20 years of leadership within the server market. This is great news for Rackable considering their stock price has dropped 40% in the last three months. Their stock is still trading miles away from its 52-week high of $56. Shares of RACK are trading at just under $18 today. Rackable is a promising company with a great product. They are a trendsetter with their open architecture server designs and low cost server solutions. Just to let you know their clients include Amazon.com (AMZN), Yahoo! (YHOO), Electronic Arts (ERTS), and many more. Rackable is here to stay.

http://www.thestockmasters.com/index.asp

C