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Dan Scott

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  • Wall Street Breakfast: Must-Know News [View article]
    >>in the coming years they could price internet service just like they do now for cable, meaning the user would be forced to pay for access to individual web sites. Just think an extra $5 a month to access SA or Google.<<

    I'm far from an expert, but I think it's much more likely we see internet access start being charged on a "usage" basis, ala heat/electric/other utilities.
    Apr 16 10:23 AM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    No question it's a high-growth model, I guess the million (billion?) dollar question is how much that growth is worth. At 22-times revenue, I "lose my appetite" (keeping with the food theme).

    How "sticky" are their customers? I've used GrubHub, I've also used Foodler. I think of the two interchangably. What's stopping another company (Yelp comes to mind) from moving in to this area? Admittedly I haven't read too much on GrubHub, so someone please correct me if I'm wrong.
    Apr 4 12:11 PM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    Following a ~50% initial IPO pop, GRUB is now valued at nearly $3 billion. That's a P/S of 22x, and a P/E of 441x.

    But don't worry guys, KING's IPO flop means the market is still rational and there's no bubble!
    Apr 4 10:40 AM | 2 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    >>Truly a dreadful human being, totally devoid of heart, conscience, and common sense<<

    This type of thinking drives me crazy. There are plenty of legitimate reasons to disagree with Romney and dislike him as a politician, but to say he's an all around terrible human being?

    Is it really any wonder that the country is locked in hyper-partisan gridlock?
    Apr 3 09:56 AM | 15 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    >>1984 is so - well - 20th century. We need a 21st century sequel, one met, not with dread, as was the original, but would be met with the delight of a world's fair view of the future.<<

    I've always thought that 'Player Piano' by Kurt Vonnegut doesn't get nearly enough credit in these types of discussions.
    Mar 28 11:44 AM | 1 Like Like |Link to Comment
  • 2 Questionable Tech Stocks Going Public? [View article]
    My first thought after skimming BOX's filing: The only way they could burn through cash at a faster rate would be if they used it to heat their offices.

    My second thought: For 3 straight years they've spent *significantly* more on sales & marketing than they generated in revenue. Wow.

    My third thought: I don't have a very thorough understanding of the cloud-storage industry, but this seems like something Amazon/Google/Microsoft could put out of business at the snap of their fingers and have it basically be a rounding error on their financials. Someone please let me know if this is incorrect.
    Mar 27 11:13 PM | 1 Like Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    Between Instagram, WhatsApp, the bid for Snapchat, and now Oculus, that's $25 *billion* on companies that produce no meaningful revenue.

    20 years from now, Zuckerberg will either be considered the most visionary CEO of all time, or a case study in hubris.
    Mar 26 08:12 AM | 13 Likes Like |Link to Comment
  • Facebook buying VR headset maker Oculus for up to $2.3B [View news story]
    Between Instagram, WhatsApp, the bid for Snapchat, and now Oculus, that's $25 billion on companies that produce no meaningful revenue.

    20 years from now, Zuckerberg will either be considered the most visionary CEO of all time, or a case study in hubris.
    Mar 25 07:47 PM | 14 Likes Like |Link to Comment
  • Devil's Advocate: The Bull Case For Candy Crush And The King Digital Entertainment IPO [View article]
    I'm commute via subway through downtown Boston every day, and I can't remember the last time I didn't see a handful (or more) of people tapping away on candy icons on their smartphone. It'll definitely be interesting to see how many of these people stick with KING for their next game once they tire of CandyCrush.

    To build on the addictive comment - Only 4% of KING's user base actually pays, but of that 4% the average spend per person is over $17 per month. I'd be willing to bet that lady sitting next to you was one of those high-spenders.
    Mar 25 09:21 AM | Likes Like |Link to Comment
  • Devil's Advocate: The Bull Case For Candy Crush And The King Digital Entertainment IPO [View article]
    It sounds like much will go to the previous investors. I read somewhere that the two main private equity backers (Apax Partners & Index Ventures) are each poised for a 10,000% (not a typo) return on their investments once KING complete's its IPO. Also, over the past six months, the company has paid out over $500 million in dividends to insiders/investors.
    Mar 25 09:14 AM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    >>chairwoman! <<

    I read somewhere she actually prefers "Madam Chairman"
    Mar 19 11:32 AM | 4 Likes Like |Link to Comment
  • Q2 Holdings IPO: A Cloud Play On Community Banking [View article]
    If recent IPO history is any indication, it'll likely spike pretty substantially right out of the gate. At the mid-point of their offering range ($12) they'll have a forward P/S multiple around 5x, which I think is justifiable given their growth prospects. This multiple expands to double-digits, however, once the stock price breaks into the low $20s.
    Mar 18 07:26 PM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    re: Tesla - The folks at NPR Planet Money had a segment last year about the extensive laws many states have to protect auto dealer franchises. For example: a car manufacturer cannot close a dealership franchicse without "cause" (not being profitable does not qualify), each dealership has a "territory" defined by state law in which no competitors are allowed, and dealerships have the right to pass their franchise on to their next of kin. Many of these laws were put in place in the 1930s, and then expanded/protected through lobbying efforts.

    Listen here: http://n.pr/OmqkCI
    Mar 12 01:25 PM | 3 Likes Like |Link to Comment
  • Avoid The Candy Crush IPO: It's Just Another Cash-Out Party [View article]
    In the Risks section of their F-1, they flat out admit that it's not sustainable:

    ""We will not maintain our recent annual revenue and gross bookings growth rates.

    Our recent annual revenue and gross bookings growth rates should not be considered indicative of our future performance. As we grow our business, we expect these annual growth rates to slow in future periods as the size of our player network increases and as we achieve higher market penetration rates. As these growth rates decline, investors’ perceptions of our business may be adversely affected and the market price of our ordinary shares could decline.""
    Mar 4 08:47 PM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    It still blows my mind that someone so vehemently opposed to government regulation was able to spend nearly two decades as one of the nation's most powerful government regulators.
    Jan 31 10:01 AM | 3 Likes Like |Link to Comment
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