Digital video recorder pioneer TiVo
What Fools say:
Here's how TiVo's CAPS rating stacks up against some of its peers and competitors:
Market Cap (millions) |
Trailing P/E Ratio |
CAPS Rating |
|
---|---|---|---|
Cisco Systems |
$145,448 |
19.0 |
**** |
Apple |
$106,986 |
26.7 |
**** |
Motorola |
$22,119 |
N/A |
** |
Gemstar-TV Guide International |
$2,030 |
11.7 |
*** |
TiVo |
$884 |
N/A |
** |
TiVo is by no means alone in its hopes to organize our media, as you can see. Some CAPS players hate this stock because of negative earnings and the cable companies' habit of handing out nearly free non-TiVo DVRs. Others see TiVo becoming a software business, thanks to the successful legal campaign the company is waging to defend its patents on DVR technology.
What management does:
Profits are still quite a way off, assuming that the status quo continues. The margins have improved since TiVo decided to move away from subsidizing expensive hardware and focus more on marketing its products and services instead.
7/06 |
10/06 |
1/07 |
4/07 |
7/07 |
10/07 |
|
---|---|---|---|---|---|---|
Gross |
33.9% |
33.1% |
33.3% |
37.6% |
38.2% |
41.0% |
Operating |
(24.8%) |
(22.0%) |
(14.1%) |
(9.6%) |
(10.5%) |
(8.0%) |
Net |
(23.2%) |
(20.4%) |
(18.5%) |
(13.8%) |
(17.9%) |
(16.2%) |
FCF/Revenue |
(13.6%) |
(20.2%) |
(15.8%) |
(20.1%) |
(14.5%) |
(11.0%) |
Y-O-Y Growth |
7/06 |
10/06 |
1/07 |
4/07 |
7/07 |
10/07 |
---|---|---|---|---|---|---|
Revenue |
22.7% |
24.0% |
32.0% |
27.4% |
17.6% |
13.6% |
One Fool says:
The watershed moment that will make TiVo's shareholders rich hasn't happened yet -- but it's coming. I'm talking about the end of the EchoStar
That hasn't happened yet, and the wheels of the legal machinery keep grinding, ever so slowly. Until then, the day-to-day results matter only because they throw TiVo's highly volatile share price around like a paper plane. Nobody in his or her right mind would sell this stock based on a single good or bad quarter, knowing what lies ahead, so the best we can hope for is a massive miss that gives us a nice buy-in price.
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