I have long said that I loved MM. I won't go into all of the reasons, but great growth, they were largely breaking even, and they had NO DEBT (that gives a lot of time to hit a homerun). While I didn't like Palmieri (now gone) I did respect the growth. I became increasingly frustrated that there appeared to be no focus on earnings. I think its clear that mobile advertising is the trillion dollar future of advertising. 25 years from now you won't be able to get a cup of coffee without a chip in it.
On to 2/19: The earnings were already previewed and they were beats. If you have followed my posts I have said for a long time that MM was 1-4 quarters away from that breakout quarter where the flood gates opened: shares go up, shorts are squeezed, institutions buy, and coverage is raised. While I don't think 2/19 will bring that crazy breakout, I do think for the first time ever MM will announce VERY POSITIVE GUIDANCE under new CEO Barrett.
The last two earnings calls were terrible. "Proof is in the pudding" when there really was no pudding. MM guided that they were not going to turn any real profit while they were working out the Jumptag acquisition. Then they had to work out the kinks. Now that acquisition appears to be mostly integrated. MM is making real money. On 2/19 I think they give great guidance and I think the breakout quarter comes in Q1 or Q2 this year.
I think following 2/19 this stock is back in the $8-$9 range and that over the next two quarters we see a real breakout.
Very well summarized. Couple of other points: As shown by the Q4 preview, MM is REALLY benefiting NOW from the coming of age of 'mobile' ... advertisers are running MORE campaigns each with BIGGER budgets and MM is helping itself with effective targeting and well-above-average click thru's. Secondly, profit will have a tail wind from the $25MM expected cost savings with full Jtap integration. And finally, MB will run the outfit in order to maximize its value ... all should note the YHOO ties to many of the prime officers.
He stated his stint at Yahoo was 'ancient history' so that tells me he sees 'business is business'. I do feel MB will have not only great growth, but great profitable growth (stellar market growth; brand/programmatic synergies; rationalizations and cost savings) ... he will run MM as a business NOT as his, and only his, 'baby'. And I will so google.
Based on both of our points: PP was great at growing while MB is great at value, earnings and buyouts. Its a good order to have them in. I have to explore the YHOO ties more, didn't Meyer fire MB? YHOO is about to have billions and billions and billions in cash. In fact, it would make a lot of sense for companies like Yahoo Japan and Alibaba to purchase companies and then transfer them to Yahoo tax free. (Google that one: yahoo-investors-should-watch-for-triple-cash-rich-split-scenario). MM could be a piece of that puzzle.