– All good news from NFLX for 4Q – beats on subs and earnings, bullish guidance, aggressive plans for international expansion, and pricing tiers – drove the stock up 15%+ after hours – Subs were up 36.5% YoY to 41.4M
The raft of new products launched at year-end have analysts bullish for AAPL’s FY14, and optimism may be well placed for 1H. Still, with high-end smartphones easing toward saturation, raging competition in tablets and dying PC demand, meeting expectations for
– TMUS CEO John Legere was the star of the day – Big 4Q net adds, big talk on LTE speeds, and a big plan to kill his rivals’ lucrative family plans by paying early termination fees for churners –
New Years is a time for predictions. Here are ten fairly controversial forecasts that we think are likely to be true for TMT in 2014, and that, if true, will make money for investors who play accordingly.
– Given the dizzying pace of TWTR’s December run from $39 to more than $74, this pull back is understandable. Still, TWTR is poised to soundly beat consensus for quarters to come. – 4Q consensus expects a 32% seasonal QoQ
TMT: The Good, the Bad and the MEH We recently published research (“TMT: How the Mighty Can Fall”) detailing the trajectory of companies and market sectors that have been overtaken by innovation. Threats to incumbents typically take 4-6 years from
– Amidst stories of tepid brick-and-mortar spending, on-line sales were up roughly 19% YoY for Thanksgiving and Black Friday, with mobile nearly 22% of total e-commerce. – Sales from desktops were up 16% on Black Friday, compared to 43% growth
We believe that TMT is in the midst of a once-in-a-generation sea-change paradigm shift, driven by mobile platforms, cloud computing, and wireless broadband. The last such shift, catalyzed in the ‘80’s by PCs, cell phones, and telephone/cable deregulation, drove waves
– Gainsaying the naysayers, QCOM sees double digit growth in 3G/4G handsets with surprisingly stable ASPs for the next few years – driving chip opportunity and royalty collections. – Snapdragon is the undisputed SoC leader, dominant in flagship smartphones while
– TWTR has settled into the low-mid $40’s, yielding a fully diluted market cap of roughly $30B – coincidently the same floor valuation suggested by discounting a future multiple of sales. – 4Q13 consensus expects a 32% QoQ seasonal sales
