PCLN, daily
Summary
Toda was indeed a huge drop, and there is probably more to come. First target is the key psychological level of $500, but a more likely level for PCLN would be to at least test the $440/400 level later this Autumn.
Lets be clear, PCLN has lowered its outlook, but it does remain a hugely profitable company. The simple fact is that its simply over-valued. I've not done too much reading on the latest earnings/outlook, but Fair Value could be somewhere in the $250/300 level.
It remains somewhat pleasing to see all the old momo stocks eventually revert back to somewhat more reasonable levels.
NFLX, GMCR, CMG, PCLN..and so many others.
Eventually, 'fair value' will return to the wider market, but that still looks like many months..if not years away.
