A Fool Looks Back

Outerwall (NASDAQ: OUTR  ) began trading on Tuesday, but it wasn't an IPO. This is the newly rechristened kiosk operator that investors have known as Coinstar for years.

Coinstar's namesake machines exchange coins for merchant gift cards, and its larger Redbox business rents out DVDs, Blu-rays, and video games at cheap nightly rates. The transformation to Outerwall isn't just a matter of slapping on a new corporate moniker. Outerwall also announced on Tuesday that it's acquiring ecoATM.

Outerwall already had a 23% stake in the automated kiosks that pay cash for smartphones, tablets, and iPods. The machines can assess the condition of the device being submitted and fires back its best offer. This should be a great way for the company to offset the slowdown in its once-growing Redbox business. It's also one that can't be pushed toward obsolescence as media distribution goes digital. Consumers still need to hardware to make it happen, and along comes ecoATM to give consumers an easy way to unload their older gadgetry.

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

  • lululemon athletica's (NASDAQ: LULU  ) founder is trimming his stake in the yoga-apparel retailer, weeks after the surprise resignation of its CEO. Maybe it wasn't just the flawed Luon stretch pants that were too transparent.
  • Tesla Motors (NASDAQ: TSLA  ) raced to yet another all-time high this week. The electric-car maker revealed that it has received hundreds of orders for its flagship Model S sedan in Hong Kong.
  • General Motors (NYSE: GM  ) isn't laying off the gas in its turnaround. Making progress in its long haul back from bankruptcy, the leading automaker posted a 6% sales spike in June, with all four brands posting gains at the retail level. Analysts were holding out for just a mere 2% uptick in sales.

Now let's look ahead to the mother of all tech battles
It's incredible to think just how much of our digital and technological lives are almost entirely shaped and molded by just a handful of companies. Find out "Who Will Win the War Between the 5 Biggest Tech Stocks" in The Motley Fool's latest free report, which details the knock-down, drag-out battle being waged among the five kings of tech. Click here to keep reading.


Read/Post Comments (0) | Recommend This Article (2)

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 Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2524951, ~/Articles/ArticleHandler.aspx, 11/28/2014 3:42:50 PM

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...

Apple's next smart device (warning, it may shock you

Apple recently recruited a secret-development "dream team" to guarantee its newest smart device was kept hidden from the public for as long as possible. But the secret is out. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But one small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early-in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!


Advertisement