I've not purchased any additional shares during this latest price decline (yet!), but I 100% agree with your entire post. Keeping my fingers crossed for a solid quarter to get that snowball rolling.
One doesn't just "take" the role of market maker. Any "schlock" firm you reference is buying and selling at auction as a market participant just like you or I.
Not sure how tongue in cheek you're attempting to be, but given that all the mad catz store traffic is now directed to Amazon, the quarter to previous quarter comparison might not be accurate anyway.
Ironically enough, I saw a tweet today from mad catz advertising the LYNX for $69 at Amazon.
"Market makers" no longer exist. Markets are true auctions these days. HFT's exploit that to their advantage by jumping between buyer and seller whenever possible, hoping to scalp a few fractions of a cent or capture maker/taker fees. Market participants are the new "market makers."
KM is undoubtedly focusing MCZs limited capital on the few SKUs she believes will produce the greatest revenue and gross margin. Something DR should have done years ago. Instead he was wasting cash on ridiculous products like the LYNX and walked away with a nice severance for his efforts.
Stanley Furniture, Inc. (the “Company”) announced today that its Board of Directors has engaged Stephens Inc. as financial advisor in connection with the consideration of potential strategic and capital allocation opportunities being undertaken by the previously established Special Committee including potential acquisition transactions to enhance product offerings and expanded distribution channels, leveraging on the strength of the Company’s balance sheet including its net operating loss carryforwards. The Special Committee consists of John D. Lapey, Jeffrey S. Gilliam, Michael P. Haley and Justyn Putnam, with Mr. Putnam as Chair.
Hmmm...a Chevron station located near the house a was living a few year's back had a Nobel Roman's in it, but I never tried its Pizza. I had no idea it was publicly traded. I'll give it a look. PS: sold that house in 2011. Not sure if the Noble Roman's was still there or not.
That's a screaming deal! Doesn't bode well for the profitability of the Android controller market however.
I've not bought any additional shares since earnings, but I will if the price continues to fall. There is always the possibility that somebody "knows" something and has a legit reason to bail, but I'm just not seeing it in this instance.
A few hundred thousand shares dumped more or less at the market wiped out $10m of market cap in a week. I don't get it. The latest cc indicated "blue skies" for the foreseeable future.
I never even considered the cost of the headsets when thinking about the listening stations. I'm also a bit dubious about proposed big box gross margins on Tritton SKU's. Logitech or Plantronics or one of the other deep pocketed gaming headset manufacturers may very well drop their prices for a short time over the holidays just to squeeze MCZ out of the space.
I thought she did a great job of laying out the facts without a lot of spin, which is completely opposite to how DR presented data. Sounds like Tritton in the Big Box for the holiday season is her 'Hail Mary.' If those 7 SKU's fail to sell at the margin and volume she's forecasting, I don't see any 2nd chance to keep the MCZ bus from going right over the cliff. If the competition is watching, they'll lower their gaming headset prices just long enough to put MCZ out of the game.
I'm glad to be out of the stock. Given its financial position, at this time, I view it more as a lottery ticket than an a reasoned investment. That said, sometimes you bet the horse, and sometimes you bet the jockey. KM appears to be an infinitely better rider than DR ever was.
That is interesting! If MCZ was able to sell some portion of its remaining RB4 inventory to Harmonix in one big block, that's a major plus! On the other hand, if MCZ is left holding the Guitar Bundles, well, they can't seem to give those away at the moment.
I've done the math Joey. I'm not sure where MCZ gets the working capital to build enough inventory to service Walmart at this point in time. Perfect execution by KM and team is critical. Even if you limit inventory to the 2,000 stores, 7 SKU's at 10 each per store X $50 avg MCZ cost to manufacture = $7m.