Netflix currently has nearly 7.3 billion in off-balance sheet liabilities for coming content. Think any large company wants to inherit these added complications with a buyout? Odds are Netflix will have to do a large secondary offering, diluting current shareholders.
For a decades Microsoft’s profit centers were surrounded by a giant impenetrable iceberg. As the competition heats up, cracks are starting in this wall of ice.
With Apple falling nearly 8% after releasing earnings, you'd imagine on the results must have been pretty bad, but with one quick glance at earnings per share figure (EPS) shows the company earned $14.50 a share versus $13.81 in the year ago period. What gives?
At the time of the acquisition, many analysts stated that the only reason Google was purchasing Motorola was for the company’s patents, to act as a so called nuclear deterrent against Apple
Warren Buffett defined a breed of companies that he calls "The Inevitables." Companies such as Coca-Cola and Gillette might well be labeled "The Inevitables."
Google has the ability to put a lot of wood behind this arrow.
Windows and Office represent a huge chunk of Microsoft’s profits. It won’t happen overnight, but if these cash cows were to be killed off, Microsoft’s stock would tank.
Netflix has a lot going for it, but what parts of the business should investors focus on?
If users begin to perceive the Android experience as a cheap commodity, the drive to buy phones from Samsung will diminish dramatically.
While some analysts will point to the fact that there is lackluster demand for 5C versus the 5S, and describe the 5C as a “flop.” Really? As a shareholder, consumers overwhelmingly demanding the higher priced product is a positive.
Google continues to profit from the overall growth in traffic on the Internet as more content is created by independent partners.
Despite the blow to Starbucks' balance sheet, which absorbed its entire cash hoard, shares of the company rose 1% a day later.
Elop easily could have maintained the status quo, but instead took the ballsy move of aligning Nokia with Microsoft, as really the only Window's phone producer.
To be sure a 3.4% dividend, 12.6 P/E, and a hoard of cash (less the 7 billion recently paid for Nokia’s handset business) certainly look like a great deal.
Biometrics-based security, such as what’s contained in the iPhone 5s model, is a significant advancement. It does not have to be bulletproof to be highly effective in comparison to the inconvenient process of users having to create a password, keeping it secret.