Hi Weda and nice to see a recent post. We have had our winners and losers over the years.
My current Israel holdings are in addition to Gilt--------TEVA, ESLT, ITRN, FORTY, ICL MGIC and MNDO.
In addition I am looking into investing in ISL, the closed end investment company with a good portfolio of stocks selling at a large discount to asset value. Are you presently invested in any of the above companies?
Hag Semach Passover
Hello folks. Haven't been here for quite awhile.
I've attended a gilat presentation, given by ceo Erez Antebi, in tel-aviv a few weeks ago, after Q4 release.
The most interesting part, imo, was him mentioing gilat is developing a product for bradband internet, for commercial planes. The idea is that since today every child has a smartphone the market for internet in the sky is much larger than it used to be, and all the airplane companies plan to introduce internet as a service for passengers.
Those of you who are familiar with gogo in the usa - well, he said that this is a problematic solution as it acually uses many polls on the ground, which the plane need to interact with, and this doesn't work over sea.
Today there is an "old" satelite solution for KU frequency in the market but the world is going to a new frequency - KA, and they (gilat) plan to introduce a product for this KA. :-)
If&when they have a product ready then I believe GILT share price would be far higher than today, since there are very few hitech companies who can develop such a complicated equipment (thing about 400 passengers who want fast internet now, and you have to track a sattelite)
He mentioned panasonic & viasat as competitors.
From what I googled, I see panasonic has an "old" KU product, but he said they also develop a new KA one, and viasat already has a new KA product, so gilat isn't the 1'st in this market, but the market is large enough.
If you could find some analyst or clever article about broadband internet for commercial planes market it would be great, because I don't have a clue on the magnitude of this market.
it's been dead money for 10 years and fimi is slow making changes. I added 10% then and did the same today - just frustrated like I'm sure every long term investor on the board.
What this project can do for Gilat, is not only to significantly increase revenues, but eventually people will notice how undervalued Gilat is in comparison to other high tech companies. And when this happen, you will be sorry that you didn't buy Gilat for 10$/share. IMHO
The headline is deceiving - spread over 10 years and doesn't break down products vs services ratio. I'm doubtful if the blended gross margins even hit 20% and then of course there is collection risk and currency risk.
EcEconomy Proinversión awards broadband Internet projects in 4 regions.
The Agency for Promotion of Private Investment (ProInversion) awarded four projects "Installing Integrated Broadband Connectivity and Social Development" for Apurimac, Ayacucho, Huancavelica and Lambayeque regions, commissioned by the Ministry of Transport and Communications (MTC) .
The four projects require an investment of approximately US $ 178.5 million.
"Integrated Broadband Connectivity for Social Development of the north of the country - Lambayeque Region" was awarded to Telefónica del Peru, an nvestment of US $ 31.5 million.
Meanwhile, the Consortium Gilat Peru, made by companies Gilat To Home Peru SA and Gilat Satellite Networks Ltd. of Israel, won the award of Apurimac, Ayacucho and Huancavelica regions, investments of approximately US $ 42.3 million, $ 55.3 million and $ 49.4 million respectively.
Not only the size of these projects is important, but also the social benefits these projects bring to the developing nations.
"to pursue other opportunities..." is another word for being fired. so many Gilat executives have left "seeking other opportunities" that since FIMI owns the controlling votes, more top executives would be seeking other opportunities soon, perhaps in March April time frame. Cavalier mishandling of assets or executive positions that are not needed or redundant will be cut from what is usually the takeover course by FIMI and that assets would be sold to get back cash spent to own Gilat.
Sentiment: Strong Sell
Yaniv Reinhold, who after 15 years at Gilat, will leave the Company to pursue other opportunities...sounds like FIMI is cleaning house. Since November 30 of last year, the head legal and now the head money man. Won't be long my peoples when we find out where all the profits have gone wasted and we get dividends or we all sell out.
According to SEC filling Meitav now owns 2,787,459 shares (6.52%) vs 2,142,095 shares (5.07%) on May 28, 2014. Meitav Dash is one of the leading and largest Investment Houses in Israel. FYI
Be careful what you are asking for. The replacement, if it comes from the business/financial community may be far worse. I would replace the board first.
I don't know how management has been able to not concentrate on growing out of losses and propel into profitability. This management accepts losses and flowers losses as a measure of success. I am with FIMI on this and new management changes need to happen soon.