So let's sweep away the hype and technical jargon and look at one simple metric: growth in sales.
In 1998 SSYS has only $32.44M in sales compared to expected revenue this year of $673M. That's more than ten-fold growth in 16 years. Hmm...must be a lot of pro-typing going on.
To all the morose hedge fund Martoma look alikes in this stock - you have the patience and foresight of a three month old puppy. Please sell and don't come back! Flap flap flap fly into a brick wall...
One would think the editors at Barron's would pick a cover story that uncovered some material news for investors. Instead, it reads as a broad summary of consensus thinking as well as some very biased opinions catered to by the shorts, in addition to a handful of already-released facts and very basic valuation analysis.
It's basically a pump job for IDXX at the expense of ABAX with very little appreciation for the ABT bundling relationship and its destiny as a cash-rich take-out candidate.
The dour, morose hedge fund analysts gave their PMs very poor advice to short CPHD.
My clients are very happy...
In a broad crackdown, the Securities and Exchange Commission has accused 23 funds of market manipulation charges. All but one has settled for a total of $14.4 million. G2- Trading is fighting the charges. The SEC reported that the firms had violated Rule 105 which prohibits funds from short selling a company’s stock within five days prior to a public offering and then buying new shares in the public offering. The SEC claims that short selling ahead of a company’s public offering depresses the value of the shares and that the violating firms typically profit by buying the shares at artificially low prices. Deerfield Management has agreed to pay more than $1.8 million to settle the claims while DE Shaw has settled by paying $667,000. The others, paying various fines, disgorgement and interest, include: Blackthorn Investment Group; Claritas Investments; Credentia Group; Hudson Bay Capital Management; JGP Global Gestao de Recursos; Manikay Partners; Meru Capital Partners; Michael Stango; MS Junior Swiss Capital Holdings; Pan Capital; PEAK6 Capital Management; Philadelphia Financial Management; Polo Capital International Gestao de Recursos; Soundpost Partners; Southpoint Capital Advisors; Talkot Capital; Vollero Beach Capital Partners; War Chest Capital Partners; Western Standard; Ontario Teachers’ Pension Fund also settled with the SEC.
The stock trades at 13x 2015 P/E (with a conservative EBITDA margin assumption at 21.3%
vs. management’s guidance of being at the ‘’low end of the 22-24% margin range) - I view this as a value opportunity given management is starting to acknowledge the
operating leverage issue and take initiatives to address these, and all these issues
surrounding the American corn seed business should not detract from the growth in the
remaining part (95%) of the business, supported by structural industry growth drivers, a
leading technology, leading market share positions and relatively high barriers to entry.
Near-term catalysts may have to centre around the approval of Solatenol (expected end
of February), the European season (which has started well) and/or good news on
royalties (Viptera, Duracade) for the market focus to switch to 2015 which appears
OK, so I get why the Keurig machine speaks to the lazy man's tendency to want something instantly rather than spending thee minutes to brew a real cup of coffee that actually tastes good. But soda? You can pull a can out of your beverage cooler and bingo - you're good to go, and really cheap. I mean, it seems you can buy a can of coke for like 25 cents at Costco. So why would you want to make soda on a Keurig machine? Seems like a stretch...
No ego problem Tommy, just dead on balls correct call. Last Friday I posted, "As in last quarter, I would sell before earnings and repurchase on the dip after another expected "transition" quarter". I sold last Friday at 43 and bought back shares at 35 this morning. Simple.