She screwed up Freescale Networking business and was pretty much fired from there. Kept chasing new low margin business, and retiring all the old high margin business.. Was a disaster that cost her and the CEO their jobs. At AMD she has been doing the same thing.. Semi-Custom/Embedded group margins are way less than the CPU, so the more product you drive, the lower margins you get. Unless you can cut the expenses, you are not going to right this ship. BOD, CEO, CFO all have to go..BOD has to go first and then the firing of the CEO/CFO and this stock will pop at-least a buck or 2. Rory's firing and appointment of the Lisa was not viewed positively. The stock fell over a $1 (30%) in a week.
The CEO and CFO are lying!! Here is a simple math, They cut the WSA(Wafer supply agreement) by 10%, but the revenues have fallen over 30-40%. They have been saying that they need $1B WSA, and they have a different product mix, which basically means producing more chips at lower price since the revenue outlook is still flat to down. Margins will go down if they are selling more chips to get the same amount of revenue, or there was really no inventory problem and hence they needed $1B WSA. Either way you are lying and analysts can see thru that clearly. Simple questions why is the WSA agreement 10% lower while revenue is 30-40% lower than last year?
When you are incompetent and never held a CEO job this is what you get. You can't turn the company around so you make it a long term turn around story(like Whitman @ HP), you talk about attending a conference call in 2-3 weeks where they will share more data(to dodge tough questions in the earnings call) and blame the macro environment. No bad CEO is going to say we did a bad job, so you have to make excuses and continue your high paying job. Remember Rick Wagoner, who kept telling all the stories about GM and how GM would grow double digits in middle of the worst recession in front of the congress, until somebody called him a liar. He did that so he could keep his high paying job and corporate jet. A real CEO would cut their salary to $1 and no options to prove they really believe in the turnaround. Next quarter will be another story and something else to blame.
The damage is done and they might squeeze all the way to $550.. If you can hang in there for 1-2 months, this will test $500.. I doubt it might come back to $474, but at least that way you can minimize your loss. Always play with call/put spreads with stocks like this.. Limits your gain, but also limits your loss
There was a lot of open interest (puts) that were expiring on March 17th, so wondering if there is some kind of game being played here to make those puts profitable on the books.
I think it will be over 3.31 by March 20th.. The open interest on the puts expiring March 20th is huge so there will be steady covering from now until March 20th.
They are not including ASV sales going forward hence the lower numbers.. Need to hear from Terex what the overall ASV numbers are that have been backed out from 2015.
Forget about all the noise with buyout, etc.. The reason this stock is moving up is short covering.. Huge short interest is and closing some of those puts will drive it up over 3.30 by end of February and over $3.50 by end of March. Look at the open interest on the puts. Also not that many sellers of the stock here at $3 will drive this up slowly everyday(with a few fake down days.. Start lower and slowly work your way up by end of the day)
Did Tesla guide up the Q1 numbers since they missed the Q4 deliveries due to them not being able to ship? I'm assuming they will be able to ship those vehicles in Q1 and make up for the revenue, thus Q1 numbers should be guided up.
The expected move in the stock was supposed to be 10%(up or down). With such a bad earnings report, this stock is down very little 3-4%.. MM is really squeezing people who bought puts or calls by keeping this really close to the 200-210 level. Would be interesting to see how it behaves next week.
Good observation. Wondering it it has something to do with covering the puts that were purchased with Feb/March/April expirations.
Surprised why this is being reported broadly. Should be interesting to see Soros filing to see how big a stake he has taken. I suspected either him or Icahn were going to take a stake soon..