The problem I can't get past is the NAND and those agreements that are influenced by volume purchases. Neither FIO or VMEM have the volumes (FIO did at one point) to keep the NAND cost down when new agreements are being negotiated. FIO has cash, but is burning and margins are thinning out. FIO is reacting with lower end products and software solutions, but at what cost. I do like their OEM strategy, but those sales will be extra thin margins, but there isn't as much sales expense. I am leaning towards the opinion of a buy out, but $685M (I forget who got that price and I know there was cash in that company) is a top end benchmark. Anyway, the price tag would have to come down a bit.
Sorry, but I believe VMEM is a dead company and will be an asset sale.
This drooping down behavior has been met with sudden rises in the pps. It could be typical games in the stock world, but I get confused on this stock and the SSD sector itself. If you are not a NAND supplier, how do you avoid the situation of being squeezed out of business or bought out? Maybe if you are EMC or Cisco where you can leverage other portions of your portfolio but these niche plays seem to follow what is becoming a common path.
I can't imagine FIO going out of business, but they have to be considered too expensive to be bought out.
Nice jump from the upgrade, but can it get above 10. Seems to be sound resistance there. Any indicators of the upcoming earnings being good or even outstanding?
Streaming content over 4G is not the best experience. China should be leap frogging to LTE to push media services such as what YOKU offers.
Patience ... There is a lot of talk regarding AAPL squeezing companies like CRUS on margins. However, there will be increased revenue opportunities that will eventually create an upward trend with the pps, but it will not happen quickly.
Thanks for pointing that out. I didn't think of the even more decrease in margins as they rely more on the OEM model. However, I don't discount a BO if the market cap get to the 400M range.