Certainly more encouraging than the last ER and CC....
Sounds like they are doing everything in their power to at least reach break-even. The thin film business sale was definitely a good decision considering that they received $25 million for a division bringing in around $2.5 million/quarter and stagnant. The strength of the stock here is also encouraging, considering what the reaction was last quarter. The stock is holding about 40% above it's lowest point following the selloff. I know a lot of you have lost money on OCLR and have been fed up with management for a while, but maybe they will finally find the right path to profitability, although it may still take them a few more quarters. Everyone remembers JDSU's BILLION dollar loss, and the stock dropping all the way down to $1.75. If OCLR comes through this traditionally slow quarter near the high end of estimates or better than expected, then I would expect the stock to be trading at least over $2.00 and possibly quite a bit higher than that later this year. Hopefully they're finally on the right track.
It's mostly about the REVENUES for OCLR and the optical component sector going forward. The street is looking to see Q/Q growth. OCLR is positioning itself for Optical network sector growth thru acquisitions (latest being Opnext). Now need to see 40G coherent, and 100G modulation product line revs take off. Calender year 2013 is a BIG one for OCLR. If lower costs coincide w Q/Q growth than OCLR's stock price should take off. Let's hope mgmts outlook is conservative, if so the stock price should take off, in the upcoming Qs. I'm hopeful, but neutral, for now. Need to see evidence optical sector is back to Q/Q growth & OCLRs acquisitions are paying off!
Were you ever in love? You know how it is when your in love with someone don't you? You tend to ignore the obvious. This brings me to my point here with OCLR. Dude this ain't no JDSU nor is it AAPL, and if you can't see that Alain is sinking this little ship and has been for years then you have to be in love with OCLR. If you were my friend and lived nearby I would slap you to try to snap you out of la la oclaroland and back into reality.
I wish you the best, but it ain't happening with oclr.
Sure OCLR aint no JDSU, but it is a leader in this space (top 3) and CAPEX turnaround is finally around the corner. It's not a good time to sell this stock as it will rise with the tide. No question. I even think up to $10. As many of the long-timers no, this is a very cyclical sector, so if you're in now, its likely best to hold or buy and sell when the tide is high. The market knows this and that's why it didn't dump OCLR today despite poor outlook and cash burn. The market always looks forward and the future seems to look bright for now. Summer and fall should be fun this year for longs. Just my opinion.
It works the same way when you hate something too. Tough to break out of whatever pattern or rut you're in. I will admit, though, that putting my positive spin on things has cost me a couple of times. Most recently with a biotech that was going to change the world with it's new liver cancer treatment that was finishing phase 3 trials. It failed and the stock went down 80% instantly--OUCH!!! Hopefully you'll be back on the OCLR bandwagon when they do turn the tide and start running in the black. I'll be here waiting.