Silicon Investor (SI) -- The First Internet Community

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 : Gemstar Intl (GMST) -- Ignore unavailable to you. Want to Upgrade?

To: D.B. Cooper who wrote (1949)	2/11/2000 12:20:00 AM
From: pompsander	Read Replies (2) \| Respond to of 6516

From looking at the numbers all the trends look fine...but it is also possible to come to the conclusion that there is ample time for an investor to watch and wait on this stock. I know many of us feel news of the regulatory approval of the merger will light a fire under the stock price, but such news will also formally raise a number of questions about how the new company will actually operate as a business and whether it can make any money for a year or so. What about the TVGIA debt? Cash flow would seem to be able to erase it over a reasonable period of time, but in the short term it will be a drag on earnings. What is the plan for the print division? E-books as an ultimate substitute is very exciting, but not a short term solution. Any merger has its headaches and this one will be no different. Bumps in the road will be a little more obvious than in the past. Also, Henry and Gemstar management have a very secretive style. It has served them well. But with investors looking for signs of how these and other issues will be resolved, that quiet style could serve as a drag on the stock. I am very long Gemstar and very impressed with the long term story. I just think we may be a ways away from seeing the appropriate price appreciation to go with it.