Altera's Q1 Results: The Market's Enthusiasm Was Difficult to Understand [View article]
William, I was very long ALTR going into the number and less so now, but I do think that the stock is headed to 25 or so.
As far as your receivables comment, I took a look, and I believe that your sequential perspective masks the real trends. A year ago, AR was $170mm, so, in fact, they are down $40mm. The sales reported at $304mm, were up from $293mm a year ago. In all fairness, the numbers a year ago were atrocious. So, in Q1 05, AR was 114mm and reported sales were $265mm. So, in the past two years, sales are up 13% or so and AR has increased similarly. I don't see an issue here. I am not sure what drives their AR - could be seasonals, customer mix or geographical.
The same exercise on inventories shows that over the past year, inventories are up $16mm on a reported trailing $11mm increase in sales. From 2 years ago, they are up $27.5mm on a $29mm increase in Q1 sales. Again, not so much of an issue in my opinion.
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William, I was very long ALTR going into the number and less so now, but I do think that the stock is headed to 25 or so.
Apr 24 10:21 am
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All Comments by Alan Brochstein »Altera's Q1 Results: The Market's Enthusiasm Was Difficult to Understand [View article]
As far as your receivables comment, I took a look, and I believe that your sequential perspective masks the real trends. A year ago, AR was $170mm, so, in fact, they are down $40mm. The sales reported at $304mm, were up from $293mm a year ago. In all fairness, the numbers a year ago were atrocious. So, in Q1 05, AR was 114mm and reported sales were $265mm. So, in the past two years, sales are up 13% or so and AR has increased similarly. I don't see an issue here. I am not sure what drives their AR - could be seasonals, customer mix or geographical.
The same exercise on inventories shows that over the past year, inventories are up $16mm on a reported trailing $11mm increase in sales. From 2 years ago, they are up $27.5mm on a $29mm increase in Q1 sales. Again, not so much of an issue in my opinion.