longandshort

Coinstar: Standing Up to Continued Challenges from Hollywood

Reasons to go long on CSTR-Redbox:

As an invester you have to ignore the white noise has analyze the business. Just some facts about Redbox:

- RedBox is successful because of its Supply Chain model. No it did not land from mars but was created by another successful Supply Chain business..McDonalds (McDonalds is not about the burger, but rather its Supply Chain and Real Estate).
- RedBox COO= Mitch Lowe, former cofounder of NETFLIX (hmmm)
- Prime candidate for a buyout
- Dividends coming soon
- Oh, I'll be renting the new Star Trek tonight for $1

Coinstar: Standing Up to Continued Challenges from Hollywood

So, I guess what you are implying is that Sony Pictures, Paramount, Alliance, LionsGate and Summit have weak backs?


On Nov 19 03:28 PM joey554 wrote:

> The only agreement that Hollywood and CSTR are going to come to is
> a windowed approach for the titles 30-45 days after release. Which
> is when all the money is made on a rental. What walmart is doing
> with the $10 DVD's doesn't cost the studios a penny it helps them,
> the only one losing money on that is walmart (loss leader) studios
> are all for it they're making the same $ on each dvd. Where as the
> studios aren't willing to let redbox continue to decimate and devalue
> packaged media xosting them millions. On top of that the way red
> box has gone about this whole thing with their PR campaign has only
> stiffened the backs of the studios.

Coinstar: Standing Up to Continued Challenges from Hollywood

Anyone who disagrees with this artilcle must work for Universal or Time Warner. Just ask your neighbor or coworker if he/she rather buy a DVD for $25 or rent for $1/day with the option to buy later.

Walmart agrees with Redbox. Walmart is actually buying DVDs at wholesale market prices prices $18 and selling them for $10. Walmart loses money on DVD sales. They are using $10 dvd sales to lure shoppers in to buy higher margin goods. They make money leasing space to Redbox.

So if you want a DVD, rent it from a Redbox for $1, if you like it buy it at Walmart for $10...consumer wins, Hollywood gets less greedy.

latimesblogs.latimes.c...

Coinstar: Standing Up to Continued Challenges from Hollywood

If you can't beat them, join 'em. Hollywood would again have to embrace Redbox (just like VHS, DVD, internet, home theatre, etc,etc).

If you are shorting CSTR right now, you better keep an eagle eye on the tape, as CSTR and Hollywood will come to some sort of agreement. Don't forget Video game rentals and worldwide growth.
New Long to CSTR.

Why Buy Sunoco Now?

Great Hedging explaination and example...good work!

The Uncertain Future of Radio

FYI:
CCO= clear channel advertising
CCMO= clear channel broadcasting

Tobacco: Bad for Your Health, Good for Your Portfolio.

I believe the whole processed food industry will be in the same boat as the tobacco industry, in that lawsuits and govt taxation will follow for "health" reasons, its just the tobacco industry is making money too easily and quickly right now and is an easy target. I still think MO is an amazingly run company.
....Looong MO!

Sirius XM Stock Action: Typical for Penny Land

Agreed.
Good recent example Conexant (CNXT). There will be an uptick initally after the RS but will head back down to penny stock status. SIRI investors are better getting out and investing in the broader market.


On May 20 08:27 AM underway wrote:

> RS has been the death knell for 90% of the companies that try it.
> There are exceptions (priceline.com for one). But, it's risky because
> the street usually attaches a negative view of the strategy and the
> selloff following RS causes the new, higher SP from RS, to drop like
> a rock, killing market cap. I hope the RS does NOT happen. Let this
> company move forward and show pos cash flow, and then profitability,
> and the SP will rise on its own. The only reason to RS is to maintain
> listing on NASDAQ. If SIRI can get over a buck on its own, no reason
> to RS. IMHO.

Sirius XM Has Long Term Staying Power

SiriusXMs founder says:
www.crunchgear.com/200.../

I have to agree. Using Satellites to deliver entertainment radio to individual subcribers is too late in the game. Our wireless and wireless earth based systems are cheaper and faster. The tie up with apple will work for apple device fans only, and provided they subcribe to 3G data plans. Edge and GPRS networks don't have the bandwidth.

Sirius needs to change their business model and deliver something new to a new audience, it needs to tap the world market, not just the US.

Should GE Maintain Its Dividend?

I am so glad this article was publised, not because of its positive outlook on GE, but rather because it proves that market analysts are as fickle as the market itself. Till, last week GE was in the doomsday category, now everyone's happy with a dividend cut and that it is GREATLY undervalued. But a JPM analyst rated GE's stock at $9.00 just last week:blogs.barrons.com/stoc.... Whom do I believe??

Should GE be like Cisco or Google and not offer dividends, and yet maybe the stock price will skyrocket. How about analyzing companies with negative EPS, no dividend but share prices in the double digits.

Lets face it, share prices are a matter of supply and demand and investor emotion. Market analysts are bandwith hogs...

Four Stocks I'm Watching This Week

...I meant
the YIELD sitll goes up to unbelieveable levels..so stop the mad panic selling!!

Four Stocks I'm Watching This Week

I think these seeking-A bloggers need to get some basic lessons in stock trading...
The dividend YIELD is a direct percentage of the current stock price. The actual dividend/share paid out is based on the earnings(EPS). People drive the stock price up or down and hence the dividend YIELD moves up or down, but actual business income determines the dividend/share paid out.

So, GE's earnings could double next year, but if panic investors sell and drive the stock price down, the dividend/share goes up, but he YIELD still goes down..so stop the mad panic sellng!!

Sell Altria During Market Hours

OMG!, I could not believe the amateur level of this article. Did this guy just graduate from "how to set up a trading account" school?? Sell your shares during market hours??....how about a stop loss, MR Expert?

Most shareholders of MO are aware that MO/PM is one of the best run businesses in the country(maybe the world). Its obvious this company is taking steps consistantly to deliver to its shareholders. If anything, I would double down.

Windows Mobile: Like Using Fred Flintstone's iStone

Obviously the author is not a mobile power user, she prbably just likes to carry a cool looking expensive phone around rather than run useful apps on it. I have been using my HTC windows enabled phone for 2 years now and have run more apps on the windows mobile platfrom than 2 years ago than I can find on a Blackberry today. e.g
- full browser
- streaming media and media player
- dial-up networking(tethering)
- maps
- Sirius streaming radio
- custom desktops (weather, clocks)
- email (web based and IMAP)

..point I am trying to make is, Iphone is great for playing music, blackberry is great for texting and email, windows mobile phones are great for running apps..

GE at a Crossroads: Business Model Becoming Obsolete

I would like a little more disclosure from this guy about his short position.
I'll bet he's got a couple of PUTs (maybe only one) for Jan and Feb...contracts under $1.00...gotta have a little more ba--s when you make strong bearish statements like this.
So he thinks GE should be priced just like GM ..how about saying something about GMs business model!