Another pathetic attempt by S_M_S to dump on a stock he has lost his #$%$ shorting. Constantly wrong in all his analysis and fairy-tale like stories. Notice that not once has he ever admitted being wrong on his SYMC stance, even thought it was clear to all who read this board that he doesn't have a clue.
So the dance continues. First the original cover story, meanwhile behind the scenes the company was being engineered for sale. But when the company cannot find a buyer willing to pay an over-inflated premium, they resorts to leaking the story. And then continues the public ruse of proceeding down the previously pronounced path of a public split. Notice the company did not deny any of the allegations of being on the block for sale. Anyway, the dance continues. We are now in the implied threat phase. That being, [We are talking to your competitors so either step up, buy and over-pay, or we will go public and make things difficult and more expensive for you later, or end up in the hands of one of your competitors]. Ultimately I suspect some kind of sale, but the fact is, no matter the price, a sale will be a far better option over the long haul than splitting Symantec into two public companies. Symantec needs to again get laser focused on security if it hopes to survive and grow again. However, those at the helm who stand to benefit most from a sale are unlikely to have the patience to do the right thing, rather want maximum short term gratification. So whether or not this all ends well remains to be seen. Shares are already dangerously priced assuming maximum optimistic outcome. The risk balance is weighted more to the downside on a competitive, execution and currency basis, so investors need to exercise extreme caution. The game is definitely under way.
I haven’t seen a play has bad as SYMC in years. I am now back on track since getting my alerts from Ultimate Stock Alerts (you can find them in Google)
My biggest loss this month came via the hands of SYMC. Was it not for the guys at Ultimate Stock Alerts (find them in Google) I would lost more
These guys don’t play. They gave me three winners in a row. Ultimate Stock Alerts (search Google for them)
But it's up from $18 to $24+ (30%) in just a year. Who gives a #$%$ what it's done in 5 years? Lots of stocks underperformed the S&P 500 the past 5 years. SYMC could be at $28 soon if the sale of Veritas goes through, per several analysts. Timing is everything. Earnings coming soon and it will be interesting to see what happens. Long-term, this may not be that great of an investment, but it's done well in the past year.
All you have to do is chart SPY which is the S&P 500 ETF and SYMC for the last five years. SYMC is included in the S&P 500. Over the last five years SPY is almost a 100% higher than SYMC. So stock_market_surfer is right!!! Whatever the reason SYMC has under performed the market.
Sentiment: Strong Sell
All interesting insights. My read is that they were approached to buy the entire company then team scrambled to try to put together a deal for Veritas only. When the dust settles, I think someone will step up and buy the whole company. This article intimates this. http://www.cnbc.com/id/102577761
The history of Symantec is fairly well know, initially being a security company followed by the biggest M&A disaster in high-tech history with the Veritas acquisition for $13 billion. After blowing roughly ANOTHER $10 billion on more M&A and ousting two CEO's, Steve Bennett took over with a Symantec 4.0 initiative. This initiative was going fairly well and brought a lot of badly needed internal clean-up and change. However the Board and activists grew impatient and it became clear the story that had been sold to investors was not altogether forthright or attainable, and the business was continuing to weaken. After all, the company has fallen way behind in technology and continues to suffer market share erosion and increased competition. Growth has been nearly non-existent for many years with no probability for meaningful change. So rather than risk loosing their golden goose, the board recently announced a spin-off of the Veritas business, but this was never the real story. Intead the company was being advised, prepping and planning for a potential sale of that division, provided they could find a suitor gullible enough to overpay for it. For the last year the company has been playing every trick in the book to keep the share price propped up, buybacks, cutting costs, etc in attempts to make the Veritas business appear worth a lot more than it is. The business is worth no more than $6 billion, a vivid testament to failure given the company paid $13 billion. The "leaked" news of an attempted sale is likely due to increasingly declining business conditions further fueled by currency headwinds, etc. It would not be surprising to see a weak quarterly report as well, which would explain the timing of the "leak". Either way, the company is still in chaos and the shares are again overpriced, factoring in a best-case scenario which does not exist in practical reality. Investors need to look carefully beyond the smoke-n-mirrors being perpetrated in this game.
Traders take aim at PSID as they look to capitalize on the huge upside potential for the stock. Is 50 cents a realistic target?