Todd,
So we know we're looking at a loss for the quarter (or a quarter loss, give or take), but even if people are expecting $0.30 and there's only a $0.22 or less loss, I wouldn't expect a huge move up. I agree that the next few quarters will be positive for NM, now that they are in the hands of real management.
My concern now is how much time Safeguard is willing to invest to get a return. If there is no announcement soon about an acquisition, it would not bother me to hold NM for a couple quarters and see how they do, but Safeguard may not appreciate leaving their current managers in there. (At the last conference call, Pete Musser mentioned that they were anxious to have Bob Veratti back, which was supposed to indicate that something was going to happen soon. However, they also indicated that they don't own all that much NM, even though they have a bunch of warrants for exercise at $4.80.)
I think we'll know a lot more after tomorrow's Safeguard conference call. The mood should definately be up, with the rise in SFE and partners (DTPI reported excellent results today and OAO Technology Solutions rights offering starts tomorrow). I'll report anything said with regard to NM here.
--John |
