Matthew Dow
Small-cap, value, long only, growth at reasonable price

Rovi Corporation: Despite A Big Run, The Stock Is Still Undervalued

Rovi Corporation (NASDAQ:ROVI) is a developer and licensor of IP products and services needed by companies throughout the digital media entertainment industry. The company has more than 5000 issued and pending patents worldwide which it licenses to numerous service providers and consumer electronics (CE) manufacturers.

After rising to nearly $70/share in early 2011, the company made some poor capital allocations decisions and seemed to overpay for an acquisition. This coupled with a sharp downward revision of its forecast in July 2012 caused the stock to fall considerably, as far down as $10/share by the middle of 2012. New management came on board at the end of 2011 and the company seems much more disciplined; The market has responded...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
FREESA PRO MEMBERS
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details