Anyone have any thoughts on what IACI should buy next?
If I were Diller, obvious candidates for me would be:
1) Nothing. This option is very attractive.
2) EBKR EBookers. Would make IACI the runaway European e-travel leader as well.
3) PCLN Priceline
4) HOMS Homestore.com -- if he could buy just the assets, and not all the legal liabilities. Note that HOMS just settled its Calpers suit, which makes it a much more attractive acquisition candidate. Would fit in perfectly with TREE. (Every single consumer loan request last quarter brought TREE $60.30 in revenue. If you own realtor.com and homestore.com, how many more loan sources do you think you'd get?) Seems to be a cheap price.
5) DCLK -- this has been rumored frequently, but I personally hope he doesn't buy. If there's one thing that IACI's "umbrella" mission is, it's e-commerce, NOT advertising.
6) LMIN -- LastMinute.com, another European travel company
Any other logical candidates?
Yes a few IACI businesses are dominant or already have virtual monopolies. Ticketmaster to name one. Try buying a concert ticket elsewhere.......As they get bigger and better, museums, self print bar coded tickets etc, will prosper as the next wave and wipe out the expensive delivery costs for both sides of the transactions. This effect alone on the bottom line could be stunning. (imagine the impact an equivalent bricks and mortar business like Sears Land's End wiping out all delivery costs ?)!
IACI is dominant in an early stage industry. Would you rather have owned RCA or IBM in 1958 ?
Microsoft or Software Publishing in 1986 ? Braniff Airlines or Pan Am,or Southwest in 1975 ?
you get my point.
IACI is the investment to make now. It's stock will double again this next year.
its not all about top line growth. bottom line should grow as well. by buying other companies they are just creating more and more goodwill. jdsu, aol doesn't ring the bell?? it would be nice to reallize that you have invested in a garbage company. no assets, valuation out whack and you have one ticking time bomb. and since you are new i am assuming that you bought into this crap at a much higher levels. do yourself a favor and bail. this pig is headed for the slaughter house, sooner or later. and quit dreaming about the 40's. aint gona happen.
Not sure I agree that Diller himself is "creating value", but many of the companies he owns (Ticketmaster, Expedia, Hotels.com, even LendingTree) are in the process of creating significant value.
" generates an enormous amount of "real free cash flow, " has billions of "real cash on the balance sheet""
Sure it does, it is also re-inventing the economy and creating demand where there is less and less of (such as travel during recession times). I'm surprised Diller didn't do it in 1999 or IACI would have been at 300 billion market cap instead of 30 billion.
As for trading "in line" with viacom fox and disney, was that when IACI was at $10? And furthermore, if it's trading in line, why do you and the other two wannabe longs keep hyping?
jeff, that's very "reassuring" that you don't care about technicals or selling volume. For every seller, there's a buyer, right? But what happens when there are no more buyers for this overinflated dotscam? Cheers!