I don't see institutional investors paying attention to analyst comments on IRID, and thus expect no follow-through on Globalstar price independendent of news on Globalstar itself. The Unterberg analyst downgrading IRID on Friday is a joke-- pardon my bluntness, but he has to be a fool for having a buy on the stock till Friday. He should have put a sell on the stock the day he was hired at Unterberg two weeks ago--after his predecessor went to Montgomery-- if he was that knowledgeable on IRID. Two weeks ago the stock was $16. I think most institutions view the analyst write-ups on IRID and Globalstar as worthless, and have for some time. My point is that analyst and media comments on IRID will not, in my view, have impact on Globalstar. That company will stand on its own instead.
As for IRID itself: it makes one begin to wonder if this $5 billion boondoggle, under the custodianship of one of the alleged premier technology companies, namely Motorola, could have just been a series of incompetencies as is being reported around the media and elsewhere, and nothing more. Furthermore, one is puzzled with IRID in such straights why Motorola still receives "buy" recommendations on Wall Street.
Somehow Iridium just doesn't jive anymore as being simply a series of concatenated errors one right after the other. I could see if Iridium had been a project under the direction of some newcomers, who had as much experience as I did in satellite programs, which is none, coming to this end. Inexperience is not what you want behind $5 billion.
But Motorola just making one faux pas after the other in the retail market, all unintended, all just happening, all just cascading into an endless pit of debt? Something is beginning to smell, and it is not roses in your FTD florist's shop. While Motorola does have the military payments to look forward to, it is going to be interesting to see what the lawfirms suing Iridium on behalf of shareholders find out. Somehow, this kalediescope of errors is beginning not to appear to be just a collection of unintended mistakes.
Not for $5 billion. Something just doesn't jive.
|
