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  • Update: Energy XXI Q1 2015 Operations Update
    Today, 3:31 AM EXXI Comment!

    Summary

    • Energy XXI provided Q115 operations update.
    • The stock is a high-risk buy at this level until confirmed operations turn.
    • Original investment thesis anticipated that the stock remained at risk due to operational issues and confused investors despite the attractive value.
  • Is Angie's List Scaling To Profits?
    Yesterday, 3:03 PM ANGI 9 Comments

    Summary

    • Angie's List shows signs that it can scale toward a profitable business in the larger markets.
    • The costs of entering second tier markets are draining the financial resources of the company.
    • Investors shouldn't be surprised if a suitor finds the local review site appealing, but the potential exists that reviewing strategic options occurs after weak Q3 results.
  • Will Ello Disrupt Facebook?
    Yesterday, 11:25 AM FB 34 Comments

    Summary

    • A new social network hopes to attract users discouraged by the ad-focused Facebook.
    • The launch of Atlas again shows that the focus of Facebook has shifted away from connecting users to connecting marketers to users.
    • It doesn't take a new service to disrupt Facebook in order to disrupt the valuation of the stock.
  • Update: Westport Innovations Slashes 2014 Forecasts
    Yesterday, 3:30 AM WPRT 13 Comments

    Summary

    • Westport Innovations reports 2014 revenue projections below previous forecasts.
    • Investors must continue avoiding the stock until a sustainable turnaround is at hand.
    • A warning of this magnitude wasn't anticipated, but the company was expected to constantly disappoint investors going forward.
  • Update: Zillow Competitor Bought By News Corp.
    Yesterday, 3:18 AM Z 3 Comments

    Summary

    • News Corp buys competitor Move pressuring the stock of Zillow.
    • Zillow's stock remains an avoid until the typical seasonal swoon ends by early December.
    • The news contributes to the original thesis that the news cycle after the Summer selling season tends to turn negative.
  • Lockheed Martin Hikes Yields Again
    Tue, Sep. 30 LMT 1 Comment

    Summary

    • Lockheed Martin increased the quarterly dividend by 13% to $1.50.
    • The BOD authorized a $2 billion share buyback program.
    • These capital return plans make for an interesting comparison to recent buybacks and dividend yields.
  • Splunk: Price Matters
    Tue, Sep. 30 SPLK 3 Comments

    Summary

    • Big data remains a mega-trend with a huge market opportunity for Splunk to explore.
    • Strong FY15 guidance should make true believers like the stock even more.
    • Despite the large drop of nearly 50% from the highs, Splunk still trades at valuation multiples that are high.
  • Is Now The Time To Buy 3D Systems?
    Tue, Sep. 30 DDD 6 Comments

    Summary

    • Stock weakness combined with the passage of time makes 3D Systems more attractive.
    • The scary chart of the past is now more reasonable for long-term investors.
    • Investors need to confirm that Q2 earnings were indeed the trough with a large rebound in store for 2015 before the stock becomes an ultimate bargain.
  • BlackBerry: No Turnaround Here
    Mon, Sep. 29 BBRY 183 Comments

    Summary

    • BlackBerry reported Q215 earnings that cut losses, but didn't provide any hope for improvement going forward.
    • Revenue figures suggest the turnaround is nowhere in sight.
    • Outside surveys continue to suggest enterprise customers want to end support for the service and not work toward more integration.
  • Yahoo And AOL Combination: 2 Wrongs Don't Make A Right
    Mon, Sep. 29 YHOO, AOL 19 Comments

    Summary

    • Starboard Value makes several recommendations to reduce the value gap at Yahoo.
    • The analysis makes grand assumptions about the success of merging entities on opposite coasts with different corporate cultures.
    • The Starboard analysis doesn't clearly provide how Yahoo would obtain a tax-efficient structure or how two struggling core operations would succeed long-term.
  • Netflix Controls Consumer Time, But Not The Wallet
    Sat, Sep. 27 NFLX 17 Comments

    Summary

    • Netflix usage per subscriber continues to grow, reaching 93 minutes per day in the last quarter.
    • The streaming service attracts more subscriber time than Facebook, yet the stock valuation is nearly 90% lower.
    • Netflix needs to figure out how to attract more wallet share than time spent on the site.
  • American Airlines Group: Fuel And Taxes
    Fri, Sep. 26 AAL 21 Comments

    Summary

    • American Airlines to benefit from reduced fuel costs and consumption.
    • American Airlines won't face income tax payments until 2016, at the current income level.
    • The stock is extremely cheap with the above tailwinds helping offset any global slowdown concerns.
  • Parsley Energy: Place This Permian Producer On Your Watch List
    Fri, Sep. 26 PE 2 Comments

    Summary

    • Parsley Energy now trades below the original trading prices back in May.
    • Young management team is a interesting twist in an industry long dominated by much more seasoned energy veterans.
    • Recent price drop places Parsley back on the radar depending on an investor's view of future oil prices.
  • SodaStream: Stumbles Provide Opportunities
    Fri, Sep. 26 SODA 7 Comments

    Summary

    • SodaStream offers a compelling valuation at $30.
    • Stumbles in the past led to significantly higher growth in a few quarters.
    • The buyout rumors, while possibly true at $40, don't come close to offering true value for the home soda maker concept.
  • Vodafone: Emerging Markets Now In Focus
    Thu, Sep. 25 VOD 16 Comments

    Summary

    • After years of weakness, emerging markets are coming back into focus.
    • Vodafone has one of the largest businesses in emerging markets like India and South Africa.
    • The emerging markets operated by Vodafone are only now moving into 3G providing for years of growth to reach the domestic levels.
  • Transocean: Fleet Update Provides A Few Positive Nuggets, But Not Enough Progress
    Wed, Sep. 24 RIG 9 Comments

    Summary

    • Transocean updated the fleet status report.
    • The deepwater driller provided some positive data points on day rates.
    • The company didn't provide any significant changes to contract the substantial amount of deepwater rigs coming off contract at the end of 2014.
  • MobileIron: Mobile First Enterprise Play
    Wed, Sep. 24 MOBL Comment!

    Summary

    • MobileIron is set to benefit from the proliferation of mobile devices in the workforce.
    • The shift to the subscription model is holding back the stock valuation.
    • The stock has a compelling valuation at roughly 4x 2015 revenue targets, a level substantially below most fast-growing software plays.
  • Update: Potash Corp Market Fundamentals Remain Challenged
    Wed, Sep. 24 POT 2 Comments

    Summary

    • Potash Corp provided downbeat market commentary at investor conferences.
    • The stock remains overpriced for the fundamental shift in the key potash market.
    • The original research continues to anticipate a weak pricing environment for potash keeping a lid on the stock going forward.
  • Sears Holdings: Stick To The Actual Facts
    Tue, Sep. 23 SHLD 133 Comments

    Summary

    • Loan from CEO provides attract interest rates and short-term liquidity.
    • CFO provides compelling evidence of the attractive terms of the loan.
    • Bruce Berkowitz confirms he remains committed to the investment in Sears.
  • Update: Ascena Retail Group Reports Q2 '14 Earnings
    Tue, Sep. 23 ASNA Comment!

    Summary

    • Ascena Retail Group reported Q214 earnings.
    • Investors should continue avoiding the stock of the diversified retailer.
    • The weak guidance backs up the original theory that the company will consistently underperform with too many brands to manage.
  • Silver Bay Realty: Buying Below Replacement Value
    Tue, Sep. 23 SBY 1 Comment

    Summary

    • Single-family REIT heading towards 52-week highs.
    • REIT continues to trade substantially below estimated NAV.
    • Estimated replacement costs provide for further upside in housing prices leading to NAV gains.
  • Update: Seadrill Executive Departure And Russian Sanctions
    Mon, Sep. 22 SDRL 19 Comments

    Summary

    • A key board member left and the Russian sanctions have already idled a key rig.
    • Seadrill is more attractive now with high-risk for further short-term losses.
    • The swift decline was not anticipated, but anybody slow to react to the previous recommendation can buy at these lower prices now.
  • Lessons Learned From The Yahoo Saga
    Mon, Sep. 22 YHOO 42 Comments

    Summary

    • Alibaba surging to more than $93 on the first trading day provides substantial gains for Yahoo.
    • Solid earnings should've kept investors owning Yahoo during the lean years for the stock.
    • The inability to turn operations around probably caps the stock gains from here with the Alibaba gains captured.
  • Facebook's Revenue Outpaces Time Spent On Site
    Mon, Sep. 22 FB 18 Comments

    Summary

    • eMarketer report provides interesting research on time spent on Facebook.
    • The bearish scenarios outweigh the bullish ones.
    • Other social network sites are grabbing time spent share.
  • Did Goldman Sachs Just Signal The Bottom In Coal Stocks?
    Mon, Sep. 22 ANR, GS, X 3 Comments

    Summary

    • Goldman Sachs made a bearish call sending coal stocks to new lows.
    • Peabody Energy provided a brighter outlook on coal.
    • An associated sector leader provides a prime example of what happens when a beaten down sector turns.
  • Update: InvenSense Lands The iPhone
    Fri, Sep. 19 INVN 22 Comments

    Summary

    • InvenSense lands sensor in iPhone 6.
    • Stock remains a strong buy on valuation and long-term market potential.
    • The original analysis anticipated that investors should trust management that it would eventually win business with Apple.
  • Update: Glu Mobile Stock Registration By Cie Shareholders
    Fri, Sep. 19 GLUU 15 Comments

    Summary

    • Glu Mobile filed a shelf registration for Cie Games shareholders to sell up to 10 million shares.
    • The stock is a buy, especially on dips.
    • Previous analysis highlights how the stock over reacts to stock offerings.
  • Update: Ensco September Fleet Update
    Fri, Sep. 19 ESV 24 Comments

    Summary

    • Ensco released September fleet update.
    • The stock remains a buy on the dips for the expected recovery in 2015.
    • The fleet status report doesn't change the metrics anticipated in the original article with the stock pushed down due to an overreaction by investors.
  • Qihoo: Is Second Place In Search Enough For Higher Stock Prices?
    Thu, Sep. 18 QIHU 12 Comments

    Summary

    • Qihoo continues to produce fast growth in several different product categories.
    • Qihoo is behind the curve on the shift to mobile search in China and trails Baidu by a wide margin on search monetization.
    • Stock is attractively priced based on estimates, but concerns exist regarding the future growth potential of the second largest player in Chinese search.
  • Hawaiian Airlines: More Upside Ahead
    Editors' Pick • Thu, Sep. 18 HA 3 Comments

    Summary

    • After solid gains, Hawaiian Airlines remains a long-term buy.
    • The airline trades at industry-low multiples of both PS and PE.
    • The stock has 33% upside to catch up to the low-end airline multiples.
  • Baidu: Use The Sell-Off To Buy
    Thu, Sep. 18 BIDU 12 Comments

    Summary

    • Higher expenses are leading to accelerated growth and a commanding position in mobile.
    • Search market share positions are misstated relative to revenues.
    • The drop in Baidu is a buying opportunity.
  • Update: Sears Holdings' Cash Infusion From CEO Scares Market
    Wed, Sep. 17 SHLD 60 Comments

    Summary

    • Sears Holdings borrows $400 million at below market rates from the CEO for the holiday retail season.
    • The stock remains a solid buy especially on historical dips below $30.
    • Previous research backed the theory that the company has plenty of assets and the ability to obtain cash to fund operations.