imo, today's action reflected APPL's probable October iPad/MacBook refreshes (or maybe a GodzillaPad) as much as the buy from yet another small house in MN (what's up with that, btw?). In the event that PXLW is in the new products, which, although far from a gimmee, is a more realistic bet than PXLW in the phones, large shorts might be inclined to reel in some of their positions as Oct. approaches.
You raise an interesting point, tommy. Ural sold well in the U.S. because... Price. Nothing else.
Abracadabarman, in his summary of CRU's exegesis of the potash situation, judiciously omitted CRU's most salient observation: that the Asian miners, in executing their program of vol over price, rely on Canpotex to maintain high prices. They couldn't do it without Canpotex's cooperation.
"Yet low-cost Russian producers are less worried about adding supply to the market. One of the reasons Russia’s EuroChem is confident about building two mines by 2017 is that it expects Potash Corp to limit its production if prices dip too low.
“This is one of the considerations, yes – that big incumbent players including (Potash Corp) are likely to pursue price over volume,” said Andrey Ilyin, EuroChem’s finance director, in an email.
Some shareholders are confident in the existing strategy. Favoring price over volume helps preserve Potash Corp’s margins, said Mohsin Bashir, portfolio manager at Stone Asset Management.
But it may be hard for Potash Corp to drive a higher price without a clear competitive advantage, he added.
Ultimately, any marketing strategy must consider what farmers are willing to pay for potash, said Gene Gauss, vice-president of fertilizer and nutrition at Wilbur-Ellis, a U.S. retailer that buys potash from the miners.
He thinks Potash Corp may eventually be forced to pursue a closer balance between volume and price as competition increases."
Read that last line carefully.
And only five minutes ago I was bemoaning my buys in the teens...
News? A talking head? The APPL hour? The rip had a talking head feel, but what do I know. I don't have a Bloomberg terminal.
My broker marked my position @ $7.35, which seems unfair. The last trade stamped at 16:00:00 went off @ $7.39. At 16:00:12, 1000 sh went off @ $7.49. Anyhow, holding. Strong bid for stock in the .30's a/h.
Nice session. Had envisioned more of a steady grind to $7+. A sigh of relief. I paid in the 6's for a bunch.
Samsung's new phones can be integrated w/ FB's Oculus virtual reality headset. And FB has said it's putting the headset on the market next year for $200.00.
From gamers to the general public?
If, as Zuckerberg says, FB is entering the gear business, is it possible to include FB as a likely buyer of PXLW's intellectual property for the headsets? More than a vendor?
It's a strong positive that Dougherty likes PXLW @ 11 absent of any deal w/ APPL's next round of new products.
Here Is What Worries Me
by abbaman7 • Jun 7, 2010 12:54 PM
I know, I know, many of you would be happy to wake up one morning to see that there is an outstanding bid on POT for, say, $150 per share. And if it were higher than that, say approaching $200 per share, there would be dancing in the streets [assuming you were long and not short]. But I would be sad as my pure play would be gone and my prospects for becoming filthy rich would have vaporized. I believe it is replacement cost that will eventually be one of the determinants of the fair value of companies like POT, which is part of the reason why I believe it should be much more highly valued than it is. So I am not worried that the share price won't return to its all time high and beyond as long as it still remains a public company whose stock I can continue to own. I guess you can say I am a true blue, incorrigible Pothead if I can #$%$ on a tender 50% or higher than what POT is selling for today. OK, I plead guilty.
No need to be sad that your "pure play" is gone due to a generous buyout, abracadabaraman. Your prospects for becoming "filthy rich" have not "vaporized" in the slightest.
Losers, once their stock drifts through the sell point, and they're stuck with paper losses, always rationalize about the rich dividends.
Losers always speak in terms of downside risk/upside reward without putting their math on the table.
Losers always mention that they've added to their losing positions. But it's a lie.
Losers are always patient.
Buyers are taking out every share bet. them and...what?...$7+ ? Caused a mini-short covering scare. No block too large to swallow. Interesting...
Your rose-colored commentary on the article's thrust is off-color. If one is a realist about the potash story, black is the tube of paint one should unscrew. Allow me.
"This year, global capacity will hit 82 million tonnes, but demand will fall well short, even at a record-high level of 57 million tonnes, according to London-based commodity research firm CRU. That gap is set to widen slightly by 2020, when capacity looks to reach 99 million tonnes, far more than is needed to meet demand of only 73 million.
*****CRU’s demand forecast is based on an assumption that demand will grow faster than it has in the last seven years. If it does not, the supply-demand gulf will grow even wider.*****
“I’m more worried still about the industry,” said Philippe Capelle, vice-president of equities for Standard Life Investments, which holds shares in Potash Corp and Agrium and likes the companies.
“You’ve had a bounce-back in volumes this year in potash. Do you get a bounce-back next year? Maybe not and then what happens? You still have plenty of supply, so why would the pricing go up?”
“You can only restock the cupboard once,” cautioned Scotiabank analyst Ben Isaacson, in a July 24 note.
Re. Samsung's new Galaxy 4 Note:
"That 5.7-incher is now a Quad HD Super AMOLED (2,560 x 1,440 resolution) technology that stretches to 500 pixels per inch."
Useful info, thanks. Didn't realize PXWL has a history of shelfs (shelves?), tapping them with discretion. Would be great if they need the $$ to hire and produce. In any event, the market doesn't seem concerned. Opening pre-mkt quote encompasses the previous close. If anything, a bit bullish.
Don't let the softness in a/h fool you. Holders of sizable short positions are going to burn their burgers this weekend. Dollars to donuts, the new money will go toward funding chip production for a major screen maker. I'd guess IRIS in iPads for unveiling in early 2015. But it doesn't have to APPL. Samsung will do. LG... Whichever... APPL has the luster but it's all green.