today's action--we are up significantly more than the reset of the market on decent volume.
I would guess that its because we are finally done with options expiry, new coverage and a reiteration from internet celebrity K. Benjamin himself.
Unfortunately, I can't buy any more gemstar, since I usually stay away from margin. Unfortunate because of the AOL-Hughes-intc news today. The size of the AOL-TV market's projected(by IDC) to be *HUGE*(8 million by 2001), and the recurring revenues that GMST gets to keep should make us all fat!!! :). What I like the most is the time frame-- < 2 years for rampup. In effect, GMST should see the ca$h inflow by next year. An excerpt from today's wsj follows:
Hughes Network Systems plans to use Intel Corp. microprocessors in a
new generation of TV-set-top receivers, one of Intel's biggest
endorsements to date outside the personal-computer business.
Hughes Network Systems, a Gaithersburg, Md., unit of General Motors
Corp.'s Hughes Electronics Corp., next year will use Pentium MMX
microprocessors and other Intel technology in set-top boxes providing
Internet access along with Hughes's satellite-based DirecTV service.
The companies, announced the deal formally
Monday but aren't providing terms. But Kevin
Hause, an analyst at International Data Corp., estimates the market for TV
boxes with Internet access will grow to eight million units by 2001 from
three million in 1999. |
