Something is happening with FUEL. For months it struggled to 200k-300k per day and now up on high volume. I like the direction!
Sentiment: Strong Buy
Sky's the limit after that...well maybe $60 may be the limit but we shall see
The events in Paris were horrific and it helps bring us together to fight one common enemy. The reality of it is, all the bombing in the world won't eliminate the necessity of a ground war to root out the final strongholds. Who make the best vehicle that can withstand that environment while being able to withstand the inevitable IEDs? OSK!
Since there was no significant selling by insiders or major holders in the past 6 months...and there is a much bigger Nov call to put ratio. I am thinking this means a moderately positive earnings report coming out. So revenues in the area of $125-$130, lower than expected loss, and improved cash flow. If that is true, then I would expect a closing stock price on Friday between $6-6.50
Wow - great call, Glass! Thanks, Glass. Now what? Well, we will hit $50 before we hit $36. Mostly driven by Defense news
"Heavy Short pressure"? You mean the ~$1.6 million traded today? Hahaha Not exactly heavy. You can chalk up the past couple months as small time individual investors working the short/long trade. Essentially this stock is being help pending some direction. We'll get a sense of that direction next week.
Bad earnings coming due to downturn in commercial division (Access) and no news on defense contract = bad week coming. The only event that will pop this stock will be the dropping of lockeed protest and/or buyout rumors. Management is not a strongpoint of this company. Products are stong but mismanaged.
From the IBM UBX website - These 15 certified launch partners include Gigya, Cake, Exchange Solutions, MutualMind, MediaMath, The Trade Desk, SugarCRM, Vibes, Facebook, Emogi, CoupSmart, Turn, Shoutlet, Rocket Fuel and SoHalo.
Fuel added their app to the IBM UBX tool set. It will be interesting to know the details such as whether it's an option or fully integrated into IBM. If fully integrated, that sets a nice path for a future acquisition for IBM if it proves to have a significant role.
Average estimate is for Revenue of $122mill and loss of .24/share or about $10mill. They cust about 11% of workforce in the 2nd quarter so those saving start to kick in plus Cap Ex spending is down sharply in 2015. The expect to have positive earnings in the 4th quarter as it's their busy season and they will have less costs.
Last Sept sales were 102 so anything at or above the high estimate of $127 will be exciting. Also - it's probably too early to be seen in results but 2016 is shaping up to be a big year for political ads.
I don't think the results and discussion will be a disappointment on Nov 11th. There is always the extra wildcard about the CEO and any partnerships.
Adding to the potential volatility is a total open short position of about 4.3 million shares . That is a lot to cover at current volume. It will be interesting to watch the volume leading up to the Nov 11th earning. The stock moved to 5.60 last week on relatively little buying activity (ave volume of about 300K shares). As this approaches 6 in the next couple weeks it will get pretty exciting.
Estimates that 2016 Election spending will exceed $1billion may mean a nice revenue bump for FUEL. 2015 revenue will likely be north of $500mill. With organic growth exceeding 10%, it's not unreasonable to expect FUEL to be north of $600mill revenue in 2016. They still have about 80-100 positions open based on their website but hopfully a new CEO will bring in some new focus on expenses and improve shareholder value.
I think good things are coming for FUEL shareholders after a bad couple years. Hoping this starts in October with a quick move above $6
It's wouldn't take much buying for this to go up .50 per day. Just look at Friday's activity - a couple 10K share buys and the stock goes up 10cents. I'm with you - barring any earning surprise, we could easily see a double in 3-6months. After Nov earnings, this will be a $600mill revenue/year company that is near $200 market cap. They are still focused (and spending) driving crazy growth. As soon as you cap spending, you can cruise to $1-$2/year earnings per share.
I understand they are losing $100mill/year something is just not adding up. You would think a company could acquire their technology and key folks, drop the redundant people/properties, and easily make that investment back in a couple years. Just really strange market action.
Lockheed says U.S. approved its $9 bln takeover of Sikorsky. Now that that is done...who could be the next target for Lockheed.....
For less than $3Bill, Lockheed could own this company and the $30B+ contact... Shoot they could spin off the other divisions and make a nice tidy profit.
Sentiment: Strong Buy