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Thursday, May 24, 2012

BMC Stocks Shoot Up

BMC Stocks Shoot Up
By: David J. Bemis
In other past quarter there is only one company on the stock market that can rival Google's progression. BMC is a software company that's stocks have skyrocketed in the past quarter. In the past week the only company that has gone up more than them is Google.  Two quarters ago BMC looked like it was going to become bankrupt and the stocks were plummeting, but in only two quarters their stock have gone up and they are considered a very good investment.
This could be because of their stocks being so cheap that people bought them. When they were close to declaring bankruptcy there prices for their product and for their stocks were very low. Their product was good so when people found a cheap but good product they bought it. More people bought it so the stock went up. When their stocks started to go up more people invested in them. This extra money from the investors would allow them to advertise their products and make more of them, so the investor were a big part in the stocks going up.
Other larger companies stocks were going down which caused people to sell and invest in other better choices such as BMC.  Companies  such as Intel and Microsoft were going down due to the fact that they hadn't recently released new products, but BMC has recently made a deal with several investors where they make software that go into several kinds of Dell and Toshiba computer. BMC’s stocks shot up when this happened because they had more increased sales plus they got royalties from Dell and Toshiba which helped expansion which caused the stocks to go up even more.
For a time BMC’s stocks plateaued. They made enough money to not go under but not enough to expand. Expansion usually causes stocks to go up, so this is why they just stayed at a plateau. This is another reason why other companies went down, they over expanded. When you over expand and expect to get money because your stocks are going up, which caused expansion in the first place, your stocks will go  down release the expansion immediately brings in money which doesn’t happen very often. Google, Intel, Ford, and the most popular Toyota all lost money in this way. However Toyota tried to counter the money loss by making their cars much cheaper to manufacture. They also made their parts out of cheap material. This resulted in over 200 recalls, and the CEO being sent to jail, plus everyone with a car that had been recalled got a new car or replaced part. Toyote lost over 2 billion dollars in this ordeal. That is one of the only ways to counter expansion losses, usually people don’t try to counter the losses with anything but time.  
BMC is a growing company that has rivaled google in the past quater, but it will most likly platue again. I have seen in charts from the past five years that BMC makes some good deals and product one qouter, then they make bad deals and products the next. They are an unstable and bad investment.



BMC is a software company.


http://wallstcheatsheet.com/wp-content/uploads/2011/05/BMC.png
BMC stocks going up.


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1 comment:

  1. David, very interesting article but I would have liked to see you integrate your interviews into it for added depth and commentary. I also recommend that you read what you have written out loud to catch any final orthography errors.

    Ms. Clements

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