A Fool Looks Back

By Rick Aristotle Munarriz | More Articles
June 11, 2011 | Comments (2)

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

In a week of big powwows for developers and gamers, the one item that mesmerized me the most wasn't a news story at all.

Fortune contributor Kevin Kelleher, dreaming out loud, is suggesting that Microsoft (Nasdaq: MSFT ) acquire Netflix (Nasdaq: NFLX ) and install Netflix CEO Reed Hastings as a co-CEO to share the helm with Steve Ballmer.

It's highly unlikely to happen, but the scenario does make sense. Ballmer is coming under fire, given Microsoft's meandering ways during the software giant's lost decade, and Netflix would provide the sizzle and Hastings the vision that Mr. Softy appears to be running low on at the moment.

A Netflix buyout wouldn't come cheap, but this is also the same company that had no problem overpaying for aQuantive and, more recently, Skype. If shareholders continue to turn the heat up at Microsoft for change, this may just be the response that saves Ballmer's hide and reignites investor interest in Microsoft as the growth stock it used to be.

Briefly in the news
And now let's take a quick look at some of the other stories that shaped our week.

Pacific Crest raised its rating on eBay (Nasdaq: EBAY ) . It also has a $40 price target, but there's no reserve price set. (That last point's just a lame joke for eBay regulars.)
Online advertiser QuinStreet (Nasdaq: QNST ) was caught jaywalking when it revealed that it expects flat year-over-year revenue growth for the next two quarters. I guess QuinStreet isn't keeping up with the market, since an eMarketer study pegs a 20% spike in online advertising growth this year.
XOMA's (Nasdaq: XOMA ) once-promising 052 is dead as a potential diabetes treatment after an uninspiring clinical trial. There may be other uses for 052, but this one could've been -- and should've been -- huge.
Beauty retailer Ulta Salon (Nasdaq: ULTA ) posted better-than-expected quarterly results, issuing upbeat guidance for the current period. Lookin' good, Ulta.

Until next week, I remain,

Rick Munarriz

The Steve Jobs Betrayal
You may already know that in the final year of his life, Jobs revealed a stunning betrayal — and told his biographer, "I will spend my last dying breath... and every penny of Apple's $40 billion in the bank to right this wrong." What was it that made Jobs so irate — and why could it make a few in-the-know investors some major profits over the coming months and years?

Enter your email address below to find out what made Jobs so enraged!

The Motley Fool owns shares of Microsoft. Motley Fool newsletter services have recommended buying shares of eBay, Netflix, and Microsoft; creating a diagonal call position in Microsoft; and buying puts in Netflix. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.

Longtime Fool contributor Rick Munarriz recommends windshield wiper fluid when trying to look back. He owns shares of Netflix and is also part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early. The Motley Fool has a disclosure policy.

Read/Post Comments (2) | Recommend This Article (4)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment icon found on every comment.

Report this Comment On June 11, 2011, at 11:32 AM, riskmaven wrote:

Ballmer has to go, i.e., be replaced, not be joined at the hip with Reed Hastings or any other IT leader. MSFT needs someone who can fire on his/her own cylinders. Hastings is a brilliant guy who's been a tremendous success but not experienced in the corporate market.
Report this Comment On June 16, 2011, at 5:20 PM, sdhir wrote:

QNST insiders have bought over $200K worth company stock recently. Interested can look at -
http://www.prontosec.com/secdata/companyReportsSearchPage.ht...

Add your comment.

Compare Brokers

Fool Disclosure

DocumentId: 1506043, ~/Articles/ArticleHandler.aspx, 5/26/2012 8:55:54 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 11 hours ago Sponsored by:
	DOW	12,454.83	-74.92	-0.60%
	S&P 500	1,317.82	-2.86	-0.22%
	NASD	2,837.53	-1.85	-0.07%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes