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Erik Gholtoghian

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  • Upgrading DryShips To Neutral From A Sell [View article]
    Overall, I'd say the BDI looks very, very weak. It went down every day for over 30 days straight until today.

    The interesting thing to see is it is likely revenues will fall for a while for the entire consolidated company because ORIG is a bit tapped out for a bit and now drybulk ships will be coming off of charters soon.
    Aug 24 12:40 AM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    Just because Sprint is risky? So you admit Sprint is risky now? Why? I thought every thing is peachy?

    You see, that is the difference between MetroPCS and Sprint. I will not have to take back my assessment even in the least bits. MetroPCS is much less risky than the rest of the sector. And assets with lower risk deserve to be priced with a lower risk premium.

    When you tell us that you think Sprint is risky, by default you are telling us that you think it is overpriced and needs more of a risk premium.

    Your characterizations of me and my position as a writer are nothing but ad hominem and red herrings to distract from the issue of valuation upon us.

    And as I said, if you want to play the smart guy for a while, I will sit out and read your article. I will analyze it for academic merit and comment. But until then, I won't.
    Jul 31 09:52 PM | Likes Like |Link to Comment
  • Buy MetroPCS: A Turnaround Story [View article]
    I wanted to just point out, that after nearly a month, the poster above me couldn't come up with a single response to my very simple question of what should MetroPCS management do differently.
    Jul 31 09:46 PM | Likes Like |Link to Comment
  • Buy MetroPCS: A Turnaround Story [View article]
    I have metropcs. I have two friends with T. It is THEIR coverage which frequently ends our calls, not mine.

    AT&T is just a brand name. Good home service, but not the best choice for mobile, or at the very least not the value or premium experience so well touted.
    Jul 31 09:45 PM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    There are certain time constraints in my responses. I could go into an extremely detailed statistical analysis which focuses on the relationship between technology and economic growth, and then I could further narrow in on companies which should shine most in such a world. The whole analysis would be supported with an instance of both investor-side and business-side asset correlation management.

    But nobody believes it anyways. So, oh well.

    I'd be better off jumping up and down like a loon and pretending that lawyers know finance. More people would believe me. Just go look at Cramer.

    So take the article on its face.
    Jul 30 03:01 PM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    My point isn't really that Sprint sucks. My point is that investors benefit more from PCS stock than from S stock. PCS stock plays a very, very useful, rare role for a portfolio.

    There are plenty of Sprint-like companies. In fact, most of the S&P could be categorized as similarly positioned to Sprint. But there are only a small handful of companies like PCS.

    That's all. And PCS management knows this.
    Jul 29 04:28 AM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    ha ha. Doomed huh?

    LOL.


    Wow.
    Jul 29 04:25 AM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    Not sure why anybody is so pathetic that they waste time putting words in my mouth. I said sell PCS if it gets over 10 bucks quickly.

    I said sell Sprint now. Certainly not an emergency though.

    Lets just go ahead and pretend you're the smart guy, and I'm the annoying commenter.

    LOL.
    Jul 29 04:25 AM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    Overall, I'd say Sprint is losing money just trying to keep customers from going to PCS.

    If I'm PCS management, I say, let them keep losing money and then go relax and smoke a cigarette thinking about profits which have already materialized.
    Jul 28 02:46 AM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    I agree. The jump to 4G was a bigger jump for PCS than for the other guys. Providing quality has always been PCS' biggest weakness. It is interesting to imagine a future where that problem has been 99% eliminated.

    It boils down to a company with zero weaknesses, other than maybe it needs to acquire SOME spectrum to expand profits more rapidly. Not a big problem.
    Jul 28 02:44 AM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    slcUTAH's opinion is spot on accurate.

    The PCS phone meets a reasonable customer's needs, although just barely. But it meets the needs more so than most customers think. WiFi is really all most people need. But for even the truly picky that need great coverage for Internet everywhere, they have 4G and even 3G available in a large number of locations.

    I'd say PCS reaches about 85% of the area that other large providers reach, in the areas that have PCS. About 25% of the time, my PCS signal is actually better than VZ and T. It is rather uncommon though.

    The thrust of my argument though is that over the past two years, the signal which the average MetroPCS user gets has improved significantly, while the average Sprint user's signal has only improved mildly, even though they are paying almost double.

    The gap will close even more going into Xmas because MetroPCS will release 6-7 LTE phones that cost around $100. This will increase sales substantially and get more users to switch to the 4G network. Once more users are on the 4G network, PCS can easily spend a tiny bit more money to extend its network coverage and fill in spots. Management waits to do things once they are cost efficient rather than pretty.

    At Xmas time, everybody who can ought to switch to PCS. Heck, there will be an HD voice phone in Q1!!!!! That technology helps reduce the need for more spectrum, and it just might become possible that PCS needs much, much less spectrum than anybody ever thought. The evidence? So far they are very profitable with their limited spectrum.
    Jul 28 02:41 AM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    Do whatever you like. Buy both with both hands if you like. I just personally think PCS is a great hold for a long, long time. It is buried deep into where investors should want to put their money.

    Sprint on the other hand is quite speculative. It is losing money and has been for a long, long time.

    With PCS it is much less about the current price of the stock rather than the quality of the stock. With Sprint, because the stock isn't one of high quality, it is more about buying low and selling high.

    In other words, you could buy PCS and never sell it again in your lifetime and you'd be fine, for sure. Sprint holders cannot say that.

    $9, $10, $2, whatever...
    Jul 28 02:29 AM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    Quit wasting my focus on semantics.

    PCS lost customers. Yes. Not the greatest of things which could happen. But frankly, it doesn't really hurt. Profit is there. That is much different than constantly losing money.

    Money is the goal in case your forgot, and if customers are going to cause my equity to lose money, then get rid of them!

    Tell you what. How about this? You keep your Sprint stock, and I'll keep my short position on puts in PCS open. Sounds like a deal to me.

    The only thing keeping Sprint afloat is Virgin. Everything else in the company is losing money. Maybe not forever, but for a long time...

    And now, just as profits already looked good for PCS, handset prices are falling even more. PCS will release 6-7 LTE handsets by year end.

    No matter how much Sprint complains, there just isn't anywhere else besides PCS where somebody can get a high quality LTE phone with excellent service for $40 per month. Case closed.

    The recession proof company.

    Sprint on the other hand, needs the economy to do well.


    But, I will say this about Sprint: I think that IF the economy ever did show any real life, Sprint would be first in line to benefit, well before Verizon or AT&T.


    The future with Sprint's profits probably relies more on wireless Internet than phone service...
    Jul 28 02:24 AM | Likes Like |Link to Comment
  • Dryships Is On Sale For A Limited Time [View article]
    So in your book, being overpriced in the industry makes it ahead of the competition? As to profit growth, the company doesn't even make any money. It isn't a certainty that Dryships will be a profitable choice at all.

    Also, the Dryships portion of the overall company is being valued at less than zero because it is a deeply negative equity company. It is like the Drybulk side is 2 billion underwater in ships which were overpaid for.

    Buying companies which have bad reputations is not the smartest thing to do with your money. Not saying Dryships is definitely a losing investment, but the risk is not worth it at this point.

    Why not buy Diana Shipping (DSX) instead?

    Why recommend Dryships equity when it has covertible debt yielding 15%-20%? Wouldn't that be the smarter choice for most investors, unless they were just gambling sheep?
    Jul 27 09:14 PM | Likes Like |Link to Comment
  • MetroPCS Shines As Phone Subsidies Plunge; Sprint Continues To Grow Unprofitably [View article]
    I think PCS is a good core position to almost any portfolio at any price below $10. At that point, you have to take profits and wait for it to come back to Earth.


    Sprint on the other hand isn't a buy unless there is a selloff soon.
    Jul 27 08:44 PM | Likes Like |Link to Comment
COMMENTS STATS
963 Comments
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