Qualcomm Moderated Thread - please read rules before posting Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Qualcomm Moderated Thread - please read rules before posting

QCOM 164.53

-0.4%

Jan 14 3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Jacob Snyder who wrote (91146)	4/25/2010 1:49:55 AM
From: qinvestor	13 Recommendations Read Replies (3) of 197214

A really serious issue holding back QC stock is the growth of money put back into the company. To date, this money has not resulted in any payback... It is supposed to be the case... Sustainable Growth = Return on Equity * shareholder money put back into the company. This reinvested capital has not produced any dividends. In fact, it has resulted in huge losses for shareholders and negative growth... QCOM's headcount is probably double what it should be when accounting for all the pork barrel projects... This all comes from shareholders' returns and weak stock price performance. For this, we have only management to blame. The current management has had control for over 6 years and shareholders have not recaptured a single penny from reinvested capital. Shareholders should be really PO'ed that all this reinvested capital has not resulted in any gains for owners. It is completely reasonable for shareholders to demand regime change given the free reign current management has had over our capital without any results. Let's be honest, the gains to date have been exclusively the result of the foresight and wisdom of Jacob's Sr. and Viterbi. Nothing tangible has come from Jacobs Jr. despite all the bazooka's he has fired. Yeah - QC won / resolved its lawsuit with Nokia / Broadcom... Big deal, they had to pay anyway, the question was never if they would pay, but how much would they pay. In the end, there were compromises with our money. OK - they came up with the Snapdragon chip. But, it did not require a genius to figure out where this industry is headed. Everyone could see the blurring of lines between PC's and phones for nearly a decade. I should hope they would have something of this type in the works. I could go on and on.... It is understandable and necessary that shareholders' capital needs to be reinvested to maintain growth into the future. But, this is what seasoned management gets the money for. It is not our job to figure out what those successful endeavors are or to forgive / excuse failure after failure. These guys think they are venture capitalists. Please - Successful, seasoned venture capital firms have extremely successful shops and consistently have very high portfolio returns. We must demand that our capital is used wisely and that we have the best management possible for our investments. They must produce results for shareholders with successful endeavors or step aside. The performance post Sr. Jacobs has been abysmal. QCOM could have hired many people and accomplished the same end results to date... Jr. Jacobs just rode a trend that Sr. established and that's it... There has been no real experience / contribution to take this company to the next level. In the end, the problem is not with QUALCOMM or its management. The problem lies squarely with the shareholders for tolerating this situation.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next