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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting -- Ignore unavailable to you. Want to Upgrade?

To: golfinvestor who wrote (92294)	6/9/2010 10:40:03 AM
From: waitwatchwander	7 Recommendations Read Replies (1) \| Respond to of 196618

The management problem must go well beyond PJ. He just set it all up. They have consistently failed to deliver the goods in a timely manner, year after year after year. When matters do get resolved, it is ALWAYS to the betterment of the other party under the guise that they can now get on with the job at hand. Even after such give-in actions they still fail to meet expectations. Nokia is a wonderful example of the later and SnapTrap II is now appearing to have similar behind the curtain characteristics. The issue of poor leadership must run pretty deep. Great vision poorly executed just feeds the other animals. Without a COO, the buck no longer stops there.

To: golfinvestor who wrote (92294)	6/9/2010 11:41:00 AM
From: matherandlowell	7 Recommendations Read Replies (1) \| Respond to of 196618

"Better yet, maybe it is time for the cheerleaders to take off their rose colored gasses and see QCOM for what it really is today." This strikes me as an unfair statement. I'm not sure I see a benefit in characterizing all favorable comments as cheerleading any more than characterizing all critical comments as incessant whining. The point of the board is to exchange opinion in a reasonably civil tone, in a tone which promotes further discussion. I don't think that Jim's suggestion that those who see a dim future for the company might want to lighten up a bit on their holdings was meant to discourage discussion or denigrate discussants, but rather only as a logical choice for any holder of any stock. And it is completely reasonable to discuss whether a change in management would benefit the company. Our purpose here is only to share information and opinions. To think that we have an effect on stock price, management decisions, or possible changes in management is complete vanity. It seems like it was only a few weeks ago that I was being reprimanded for taking a swing at a fellow poster over something or other. Now I sound like I'm positioning myself as a reasonable peacemaker. It is more fun to be involved in the food fights. j.

To: golfinvestor who wrote (92294)	6/10/2010 12:07:42 PM
From: Jim Mullens	8 Recommendations Read Replies (2) \| Respond to of 196618

Gi, re: cheerleaders ……………… Better yet, maybe it is time for the cheerleaders to take off their rose colored gasses and see QCOM for what it really is today. My belief is the company I own deserves a stronger leader. Selling is an option, but my belief is that QCOM is a company with good bones, but poorly managed. A couple of things- 1) You and your followers (majority of this board?) appear to see little if any value in QCOM so long a current management (PJ) remains in control. So much so, that anyone (me) who post’s anything positively on the company is characterized as a “cheerleader”. I’m also not thrilled with the stagnating share price either, but continue to find many positives within Q’s business model and the mobile wireless industry with my posts for the most part providing a great deal of detail / analysis supporting my position. Thus, I think your characterization as “cheerleader” may be emotionally rather than factually based. >>>>> Cheerleader “One who expresses or promotes thoughtless praise…...” answers.com >>>>>>>> 2) QCOM’s management execution has been far from perfect, but what’s companies is? You, and several others on this board appeared to be enamored with Apple and I’ll admit it’s currently on a hot streak (glad I picked up some a while back—but not far enough back). finance.yahoo.com As I’ve posted, much of Q’s troubles can be traced to the apparent delay in the commercialization of Snapdragon enabled devices. How much of the delay can be traced back to Q management as opposed to Q’s value chain is still a mystery as we hear of Adobe Flash problems, device maker software issues, etc. With over 50+ Snapdragon devices now showing up on the PDA master database, and Q now reporting over 140 design wins, it now appears that Snapdragon enabled devices will offer more formidable competition against the iPhone and Q’s fortunes should improve (handset / chipset ASPs & unit increases). Further, strategic planning (magnitude of R&D projects ) was no doubt based on a faster realization of Snapdragon revenues, the absence of such impacted FY09/ 10 revenue /EPS growth. Monday morning quarterbacking now suggests that too many R&D / non-core efforts were undertaken “betting on the come” of earlier / faster Snapdragon traction. 3) FWIW- the following is a snip of a constructive email sent to QCOM IR earlier this year. Also, you might be interested in this post earlier this year ( Message 26312099 ) >>>>>>> snip >>>>> Creative Solutions to Increase / Sustain at Least 15% Annual Growth in the Share Price A- Dividends: Regular & Special- Current cash & marketable securities together with recurring cash flow should be more than adequate to fund both increasing the regular and a temporary special dividend. Increasing the regular dividend and implementing a special dividend should provide a strong signal to the markets of QUALCOMM’s confidence in its intentions / ability to sustain long term earnings growth. …………………………………………… 12/ 2008……12/ 2009 ..Pro Forma Free Cash Flow…………..$ 3.4B……….$ 1.3B ..Cash & Marketable Securities- …+ Domestic……………………………$ 6.6B…… .$ 8.6B …+ Offshore…………………………….. 6.5…….. . 10.3 …+ Total…………………………………$ 13.1……..$ 18.9 . ..Dividends…. …+ Regular dividend- increase to $0.20/ qtr $0.80 x 1.7B shares = $1.36B / year …+ Special dividend- @ $0.20 / gtr $0.80 x 1.7B shares = $1.36B / year (2 years) …+ Total $1.60 x 1.7B shares = $2.72B / year $1.60 / $40 per share = 4% dividend yield B- New Approach to Strategic Planning / Internal Budget Development I believe a new approach to strategic planning / budget development is needed, with the primary focus on bottom line results--- growing EPS at least 15% annually. ..1) Per current procedures- ……a) carefully estimate the best / worst case ranges (hi /low) for QUALCOMM’s various markets (device sales, chip sales, ASPs, etc). ……b) Estimate the revenue ranges (hi / low) from those market metrics ..2) Develop internal budgets (COGS / Opex / headcount ) with required reductions if necessary, to achieve bottom line / EPS growth of at least 15% YoY growth--- based on the low revenue range---. ………Note- As mentioned above, if 15% EPS growth cannot be achieved, supplement the shortfall with a special dividend so that both the EPS growth percentage and dividend yield percentage when added together equals 15%. ..3) Prioritize and rank all projects and all employees (productively / value) for potential elimination / deferral / dismissal if required to meet bottom line targets. ..4) Continually monitor revenue and bottom line performance to those budgets and further reduce expenses / headcount accordingly if revenue targets fall short. Hopefully most of the headcount reductions can be achieved via attrition (and “weeding out the dead wood”), but this will probably not be enough given QUALCOMM’s stature as one of America’s best companies to work for (low turn-over) and the current economic conditions. Working within aerospace for 35 years, periodic down-sizing was never pleasant. As governments can and will always find a way to spend every dime of revenue, it’s the natural tendency for big companies to also build big bureaucracies, and for highly innovative companies it’s difficult not to vigorously pursue every cutting edge solution within their field.