Home › Forums › Financial Markets/Economics › Well done Qualcomm, Facebook, Google
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UCGal.
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January 30, 2014 at 4:52 AM #770350January 30, 2014 at 6:29 AM #770352
livinincali
Participant[quote=flu]Damn. FB @ $63/share premarket… Short sellers getting squeezed?[/quote]
Maybe, but there isn’t much short interest on FB. Less than 1 day to cover and only 2.5% of the float is short. It’s likely just everybody desperately chasing the few stocks that are actually growing at a reasonable rate. Everybody that sold AAPL the other day because it’s no longer a growth play is looking for the next growth play.
I’m really not that excited about QCOM earnings. Yeah they beat the street but they’re down YoY, Mobile is definitely slowing down on the hardware side. Software might still be ok, but AAPL, Samsung, and QCOM are all showing signs that high-end mobile has reached saturation point.
January 30, 2014 at 7:30 AM #770354SK in CV
Participant[quote=livinincali]Everybody that sold AAPL the other day because it’s no longer a growth play is looking for the next growth play.
[/quote]
AAPL hasn’t been a growth play for a very long time. I can’t find any older data real quickly, but it hasn’t had a P/E of over 25 for at least 5 years. FB, based on most recent quarter earnings is at about 50, it was in the thousands not too long ago. Amazon is still over a thousand.
January 30, 2014 at 7:57 AM #770356Participant[quote=SK in CV]
AAPL hasn’t been a growth play for a very long time. I can’t find any older data real quickly, but it hasn’t had a P/E of over 25 for at least 5 years. FB, based on most recent quarter earnings is at about 50, it was in the thousands not too long ago. Amazon is still over a thousand.[/quote]P/E has nothing to do with growth rates. Stocks with high growth tend to support higher P/Es but growth is about total revenue YoY and total earnings YoY. Even earnings/share isn’t as good of a measure because of all the stock buybacks we’ve seen. For example AAPL earnings/share went up YoY but their total earnings went down YoY.
January 30, 2014 at 8:00 AM #770357Participant.
January 30, 2014 at 8:20 AM #770358UCGal
Participant[quote=flu][quote=AN]GOOG bought MOT for their patents. Those of us who are in the industry assume that GOOG had no intention of holding onto MOT hardware division for very long. Which is why they sold off the connected home division of MOT pretty quickly.[/quote]
I figured that once the Nexus line refreshes recently still consisted of the Samsung, Acer, LG instead of any Motorola product…
It’s actually sad. It must have been frustrating to have been at Motorola’s handset/tablet division and been treated like a stepchild… I actually liked Mot products and was hoping they were actually do something with it.. But I guess that would have terrified all the other OEM’s and cause them to cut producing android products…[/quote]
As some of you know – I lived through some of this split/acquisition/split/sell. I was part of mot mobility when it was acquired by google. I don’t work in the handset group though (cable tv). It was clear google had NO interest in my (profitiable) division and sold us off last year. It was also clear that google didn’t know what to do with the handset group. There were some really talented engineers – but in San Diego, that group closed down last fall. So what’s being sold has no effect on San Diego… those guys have already landed new jobs and are probably happy not to be there anymore.
Zachs did an analysis of what Google paid for the patents, Once the dust settled. The purchase price of Mot Mob, less the cash on the books, less the price they got from ARRIS for the home division, less the price their getting from Lenovo, PLUS the losses MotMob has wracked up in the meantime ($2B!!!)
It was under $4B for the patents. Google originally offered $9B for the patents. The 2 parts of the company they sold off have rights to use the patents, but no income from them. Google got what they wanted in the long run.
It’s been a crazy ride over the last few years. As an employee who lived through it I have a less positive view of Google as an employer. Not sure they violated the “do no evil” motto – but they didn’t act with much humanity.
January 30, 2014 at 9:09 AM #770361
CoronitaParticipant[quote=UCGal][quote=flu][quote=AN]GOOG bought MOT for their patents. Those of us who are in the industry assume that GOOG had no intention of holding onto MOT hardware division for very long. Which is why they sold off the connected home division of MOT pretty quickly.[/quote]
I figured that once the Nexus line refreshes recently still consisted of the Samsung, Acer, LG instead of any Motorola product…
It’s actually sad. It must have been frustrating to have been at Motorola’s handset/tablet division and been treated like a stepchild… I actually liked Mot products and was hoping they were actually do something with it.. But I guess that would have terrified all the other OEM’s and cause them to cut producing android products…[/quote]
As some of you know – I lived through some of this split/acquisition/split/sell. I was part of mot mobility when it was acquired by google. I don’t work in the handset group though (cable tv). It was clear google had NO interest in my (profitiable) division and sold us off last year. It was also clear that google didn’t know what to do with the handset group. There were some really talented engineers – but in San Diego, that group closed down last fall. So what’s being sold has no effect on San Diego… those guys have already landed new jobs and are probably happy not to be there anymore.
Zachs did an analysis of what Google paid for the patents, Once the dust settled. The purchase price of Mot Mob, less the cash on the books, less the price they got from ARRIS for the home division, less the price their getting from Lenovo, PLUS the losses MotMob has wracked up in the meantime ($2B!!!)
It was under $4B for the patents. Google originally offered $9B for the patents. The 2 parts of the company they sold off have rights to use the patents, but no income from them. Google got what they wanted in the long run.
It’s been a crazy ride over the last few years. As an employee who lived through it I have a less positive view of Google as an employer. Not sure they violated the “do no evil” motto – but they didn’t act with much humanity.[/quote]
You confirmed what I thought I saw…I remember that I was at a tradeshow with the OEMs and ran into some MOT mobility folks… We went out for some drinks (I was sober though because of my medication). But I started to ask them about the next version of android (then it was Jellybean) to see if they’ve seen it/working on it….And they jokingly said, “no… We usually don’t get anything from Google until after it’s made it’s way to Samsung, LG, Acer, and featured on Engadget…Talk to the Engadget editor, they know more than we do…”
I really wish we had more competition down here in SD… Besides just the Q being the big player.
January 30, 2014 at 3:00 PM #770381CoronitaParticipantGoogle @ 52 week high after hours…
Amazon… Well, oops…
January 30, 2014 at 4:20 PM #770382spdrun
ParticipantConfused here — GOOG missed earnings expectations. Is the after hours price rise speculation on the stock split or WTF?
January 31, 2014 at 12:47 PM #770422ParticipantIt’s on the news they dumped the albatross. (Mot Mobility).
MMI has lost money consistently. Despite really talented engineers – they couldn’t make a profit or come out with the “right” phone to retake market share. Not the engineers’ fault.
Shareholders were never thrilled that Goog bought Mot in the first place.
January 31, 2014 at 2:37 PM #770426FlyerInHi
GuestWhat is the prediction on how Lenovo will handle Motorola mobility.
What’s in it for Lenovo? Is the the Motorola brand irreparably damaged and will we see Lenovo branded phone?
January 31, 2014 at 2:48 PM #770428ParticipantThere are already Lenovo branded phones, not sure if commonly sold in the US.
January 31, 2014 at 3:29 PM #770430Participant[quote=spdrun]There are already Lenovo branded phones, not sure if commonly sold in the US.[/quote]
Lenovo phones are not sold in the US but they are pretty big in China and other 3rd world countries. Nokia should have been able to take the low priced smart phone market but blew it. Now it’s Lenovo’s turn, to see if they can exploit their low cost manufacturing into profits.
January 31, 2014 at 5:02 PM #770432CoronitaParticipant[quote=FlyerInHi]What is the prediction on how Lenovo will handle Motorola mobility.
What’s in it for Lenovo? Is the the Motorola brand irreparably damaged and will we see Lenovo branded phone?[/quote]
The motorola brand is notable in china. And Lenovo is pretty notable as well. I wouldn’t be surprised if they keep the motorola brand.
I think actually this will be a very interesting play for Lenovo in the U.S. market, as they get a pretty good platform that will be available to be sold in the U.S. more or less immediately, and it’s not the bottom tier phones like what Huawei and ZTE sells in the U.S. Things are gonna get very interesting to see what sort of thing they do to tier 1 players like Samsung and LG….
January 31, 2014 at 6:59 PM #770439ParticipantThe Mot brand does indeed transfer to Lenovo from what I can tell… Mot Mobility got the name/brand when they split from solutions. (With Mot solutions retaining the right to use it for some extended period of time.)
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