DIVX, trading out of our range a bit at $5.60, but a real interesting opportunity, esp because they are profitable and sitting on a ton of cash ($143 million), trading not much more than cash currently. Cash alone is $4.30 a share.
They are trading more like a value stock, even though they are definitely a growth stock.
From yesterday's conference at Technology & Telecom Conference 2010
veracast.com
"we are the mp3 of video"
"enormous footprint across software, devices, and content"
"increasingly devices are connecting directly to internet. We believe this is going to usher in a very exciting new age for television."
"Now with the introduction of internet TV you are able to access literally limitless amounts of content immediately on the fly. You don't have to wait for that content to be broadcasted."
"We introduced a new program here at CES called Divx TV. It's an embedded internet TV platform that would go into for instance a digitial television, into a bluray player, into a set-top, that allows you to access content directly on the internet through a remote control. We announced a major partner..with LG which will be shipping with DivxTV here in 2010,..several other hardware OEM partners, including Sonic, Iomega, ADP for set-top boxes,DST for set-top boxes, and we also announced over 70 content channels already here at CES across a number of different areas..Rapsody, Pandora, Twitter, Acosa(?) for photos, CinemaNow for movies, CBS news, CNN, a whole range of different content types."
"We think we are in a unique position..we've been working with the OEMS for many many years. ...It is designed to look and feel like TV. Very simple and very easy to use. can add content easily..."
"we are solving the problem of 'any to any'. Any service, any form of content that's on the internet, to any brand and any device."
See the 10Q for revenue streams. Lots of revenue potential. Yes, they will get revenue sharing on content. |
