On Feb. 15, less than a month later, Nortel again revised its earnings and revenue growth for 2001, this time to 15 per cent and 10 per cent and increased the job cuts from 4,000 to 10,000. Whoever or whatever is to blame for the sudden change in Nortel's 2001 projections, the news has damaged the company's credibility.
Capital expenditures are one of the first things to be reduced in leaner times.
When a stock sells off on its fundamentals, something other than time or a price decline is needed to reverse sentiment and shift the balance back in favour of the buyers. We welcome your feedback. All rights reserved.