If Systemax's high gross margins have been fattened by failure to pay out manufacturer rebates, then an end to that alleged behavior might crimp profits and the share price.

Unsold inventory spells trouble for earnings growth. As the iPod phenomenon winds down, iPhone sales and computer sales have been expected to pick up the slack. Mac sales have done their part, increasing 40% in fiscal 2007, while iPhone sales appear to lag. Apple projected that it would grab about 1% worldwide handset market share, or about 10 million phones, by the end of this year. At the current run rate, AT&T is on pace to only activate about 4 million iPhones this year. Thus, Sacconaghi expects Apple to have sold only 7 million phones by the end of 2008. "That's pretty sobering," he says. The shortfall could hurt the stock because the analyst expected the iPhone to account for as much as 50% of Apple's operating margin growth by 2009.

The Street is either not getting our story, or not believing it yet. Last week, Wall Street started to get it: Thursday, Avnet rose 14%, to $34.73. A nice move, but one that left it still more than $10 off its 52-week high. For tech investors, not a bad place to hide.

Some think that Google could take a significant equity stake in Sprint, which would be a lot cheaper than building a new service provider. Another theory: Sprint could be bought out by private-equity investors, perhaps including TPG, which with Goldman Sachs (GS) controls the wireless provider Alltel. In November, the Wall Street Journal reported that Sprint had rejected a proposal from South Korea's SK Telecom and private-equity firm Providence Equity Partners to invest $5 billion in the company and to install Sprint's former chairman, Tim Donahue, as CEO. That was with the stock north of $15. Now it's barely over $9. But the spectrum gets only more valuable over time -- the current auction will provide a good gauge of what it's worth. The stock, in short, is simply too cheap to ignore.

The shares, up nearly 45% since the start of 2007, look poised to climb by at least another 40%, even as rivals with older gear are punished.