Is Level 3 Communications Turning Around? [View article]
it depends, normally those are existing routes and at a wholesale level most traffic is not metered or the incremental $ is so small it is insignificant. If Microsoft gives a W7 user 5GB on the skydrive and they use ATT, some traffic may pass L3, but those are peering arrangements and wont make them any money and potentially it is clogging them up.
Level 3: A Takeover Target With 100% Upside [View article]
Let me point out a counter theory,(backed up by actual facts) " if " the magic dark fiber assets are worth $50B, why didn't anyone pay $10B for the company? Didn't any of the super smart Wall St. M&A MBA guys see this gold mine and not want to make 5 to 1 for a few hours work? In the last 10 years every large/med and podunk carrier in the US has been swallowed up but no one touched L3, they can buy this a $1 a share and didn't. And Institutional investors own 73% of every Fortune 500 company so that's an indicator of nothing. The stock price is a good indicator of the perceived value, I am surprised it is not on pink sheets.
Level 3: A Takeover Target With 100% Upside [View article]
Good comments. This stock has been turning around for 10 years now and a broken clock is right twice a day, add the cliche of your choice. Let me see if I understand the analysis you predicted a $2 price and it came within .35c before retreating, so rather than your analysis being wrong now there is "potential upside". There will be no suitor with $7B in debt, long haul fiber is about rare as Ipod cases. As the first poster (rangar) mentioned $10B for $300M is a raw deal. Management should restructure the debt and let the company move forward but they are control freaks, have been wrong about every trend, made bad decisions, repeated and ran the company into the ground. Only the worse management team on earth would leave this stock in the state it is in for 10 years, announcing an executive team change would double the stock so maybe you are right. In the long term the longer they wait the less valuable their network is, people did not know what a terabyte was 10 years ago technology does not appreciate in value. Compare Global Crossing to L3 and see the difference now for making the hard choice. The stocks a dollar it isn't wiping anybody out.
Also, re: data explosion, 3G, 4G, 5G, 6G, 7G and the big fluffy cloud: the bottleneck for higher speeds is, has been and will always be the last mile to the user. As the subscribers increase and add more and more users, users use more and more data/calls, there is a need for more LOCAL access points, access capacity and wireless infrastructure (cellular) this has NOTHING to do with L3 assets, L3 has long haul fiber, with aging equipment and the worst support on earth. So the explosion of the VZ Iphone, AT&T Iphone, droid and big fluffy clouds etc, etc have no impact on L3. L3 makes money as an also ran on large enterprise/gov contracts and L3 usually gets the 4th part/slice of a contract where no one else wants the terms they give the business to L3, want proof? look at the revenue.
Emotional Investing: The Case of Apple [View article]
This will be interesting, thus far they have done an incredible job at executing not talking but doing. They may continue at this rate for a while. But at some point the rev/earnings targets will be unreachable. Look at the Ipad, it went from they won't sell 1M of those things to 10-20M+ is now expected.
Potential Acquisition Targets for Hewlett-Packard [View article]
It is one thing to sell .25c worth of toner for $100 and quite another to shift the entire company focus into more software/cloud based services. The comments are certainly canned what else would would you expect the officers to say in a Barron's interview? Selling more toner? Being less green? LOL. But turning any large entrenched behemoth is no easy matter and there will be acquisitions, good and not so good. The purchase of Palm now seems not in line with objectives. HP with really good management probably has a 20-25% chance of pulling this off.
The Battle for Mobile OS Dominance: Apple vs. Google [View article]
Good points guys but we cant count eyeballs this is a 10 year old $600/share company we need more than a dot.com bomb expression of valuation. BTW nothing locks goog in as the only search available on chrome so your argument on the path to eyeballs is primarily illogical. Old school - I sent an gmail to someone with the last name Hamm and of course I clicked the link because I needed cheese, obviously with this kind of AI they will make trillions.
The Battle for Mobile OS Dominance: Apple vs. Google [View article]
Dominance yes, as being the only other logical choice (a la Coke - Pepsi) but they make no money giving away an OS. Moreover the current deployment is to let multiple manufacturers make units and use their OS (forking) this is an exact model of the recipe for disaster which Microsoft uses and is the single biggest complaint from users. Whether you like Apple or not people are paying a premium for a positive customer experience not a box, something severely lacking in a multi vendor environment. Comment: I am personally not sold on the mobile search revenue pie in the sky story because #1 I don't click on paid advertising links while driving do you? #2 it's a 4 inch screen (and maybe no flash) is every business website ready for this? (no) #3 If I am out and about and I click on a mobile search link aren't I just the same person who would have used Google but I am not at my desktop? that's not an extra search, in fact it could be less searching since I am reading a small screen and just pick 1 or 2 instead of 10 or 20 paid links. #4 They are a 900 pound gorilla but I have yet to see them do anything other than search. Cant count gmail as a money maker. RIMM and Apple make bank up front seems to have worked pretty well.
Would You Like a Kindle With That e-Book Order? [View article]
Y'all need to ween yourself off the concept of free, nothing is free. Go back to your economics textbook and look it up. Free in the case of cell phones means overpaying for monthly service and being locked in a contract, maybe where you are getting lousy service as many Iphone subs would attest to. Free usually means limited choices and a crappy deal basked in marketing shtick. In many cases free means the crap we couldn't get rid of last year. A kindle is down to $150 if thats too much then pass on it. And understand that if you buy it outright you are still tied to Amazon for content for life, so it is not a free e-reader it is a shopping cart. (razor)
A Sirius Threat: 'Free' as a Business Model [View article]
Satellite radio made sense on the pay for no commercials model (count me in) but after 10 years and a merger the growth has slowed and the stock price is way off and what has management done to correct it? They give the radios away there are no barriers to entry. If you got in at .20c good for you they are past market saturation. And Pandora without unlimited data plans is dead.
Is Level 3 Communications Turning Around? [View article]
Let me post this to the question on the coming cloud data tsunami, there isnt one. Google "dedicated colocation" space and see what you find. To put this in perspective this is what I found I can get a newer, faster server, with lots of RAM a big hard drive, back ups, power and connectivity 24x7 for less that the monthly payment on the server!!!! Thats right I can lease/buy a server for $100 a month, rent a rack, supply power, and add Internet circuits (another $50 to $100) OR I could just use the "cloud" for $70. Not only is it not a tsunami but it may decrease actual capital outlay.
Upcoming Spin-Off Should Unleash IDT Corp.'s Value [View article]
...yes they made a $1B cash 12 years ago and have not done too well since, per share projection is based on pure spec. How many times have we seen a company try to "unlock the value" only to crash and burn terribly?
Disagreeing With the Market: Cisco Is Still Undervalued [View article]
I remember when this split every 18 mos like a clock, that was then AAPL is the little darling now. People were looking for a reason to dump this and found it the numbers were really not that bad. The $64 question is can you buy it and make 20% based on the knee jerk. I would hate to see them start doing stupid things to try and show they are still a growth company, welcome our new oven mitt division!
As Ford Tanks, Now Is the Time to Fill Up [View article]
Good point, yet another bogus Wall St stat yet referred to as the gospel on a daily basis. I like the fairytale what would $10,000 invested in 1930 in the original DJIA be worth today, as my favorite joke.
Is Level 3 Communications Turning Around? [View article]
Level 3: A Takeover Target With 100% Upside [View article]
Level 3: A Takeover Target With 100% Upside [View article]
Also, re: data explosion, 3G, 4G, 5G, 6G, 7G and the big fluffy cloud: the bottleneck for higher speeds is, has been and will always be the last mile to the user. As the subscribers increase and add more and more users, users use more and more data/calls, there is a need for more LOCAL access points, access capacity and wireless infrastructure (cellular) this has NOTHING to do with L3 assets, L3 has long haul fiber, with aging equipment and the worst support on earth. So the explosion of the VZ Iphone, AT&T Iphone, droid and big fluffy clouds etc, etc have no impact on L3. L3 makes money as an also ran on large enterprise/gov contracts and L3 usually gets the 4th part/slice of a contract where no one else wants the terms they give the business to L3, want proof? look at the revenue.
Emotional Investing: The Case of Apple [View article]
Potential Acquisition Targets for Hewlett-Packard [View article]
The Battle for Mobile OS Dominance: Apple vs. Google [View article]
The Battle for Mobile OS Dominance: Apple vs. Google [View article]
Comment: I am personally not sold on the mobile search revenue pie in the sky story because #1 I don't click on paid advertising links while driving do you? #2 it's a 4 inch screen (and maybe no flash) is every business website ready for this? (no) #3 If I am out and about and I click on a mobile search link aren't I just the same person who would have used Google but I am not at my desktop? that's not an extra search, in fact it could be less searching since I am reading a small screen and just pick 1 or 2 instead of 10 or 20 paid links. #4 They are a 900 pound gorilla but I have yet to see them do anything other than search. Cant count gmail as a money maker. RIMM and Apple make bank up front seems to have worked pretty well.
Would You Like a Kindle With That e-Book Order? [View article]
A Sirius Threat: 'Free' as a Business Model [View article]
Is Level 3 Communications Turning Around? [View article]
Upcoming Spin-Off Should Unleash IDT Corp.'s Value [View article]
Is Apple the 'Short of the Century'? [View article]
Disagreeing With the Market: Cisco Is Still Undervalued [View article]
Disagreeing With the Market: Cisco Is Still Undervalued [View article]
As Ford Tanks, Now Is the Time to Fill Up [View article]