gaucho420

Total Rating:
0 / 0

48 Comments

    • Wed Nov 19th 12:27 PM | Rating: 0 0
      Commented on:
      General Electric: Genuine Risk of Collapse?
      The government wouldn't let GE go under. And let me add that if it does, it means we're heading for a depression and many other company's will go under...GE is for all intents and purporse, the worlds' largest and further reaching companies.

      I have been buying GE shares at these levels and will continue to do so. I disagree with the poster.

      And Forbes or Fortunes, whoever made that chart showing the different branches of GE and their earnings over time, should be given credit as that was ripped off straight from one of their articles from last week.

      In the end, I'll take Buffett's opinion over anyone else's but mine...and I agree with Buffet.

      GE is still the world's most profitable (read they make money STILL) finance company and while it is required to refi its debt over time as that is the way the financial aspects are structured, it does not mean it is a poorly run company. It simply means the system in place at the moment does not work...it doesn't mean the company is losing money hand over fist, it simply a victim of the current environment.

      When GE starts reporting losses than that's one thing...but that hasn't happened.
      View article »
    • Wed Nov 5th 14:38 PM | Rating: 0 0
      Commented on:
      The Future of Gaming: Why EA and Take Two Have It Wrong
      GTA's back catalogue alone sold a combined 1 million units the last quarter for TTWO...these are games that are nearly a decade old.

      In addition, San Andreas is now available for download via Xbox Live. Good games always sell...ask Nintendo about its back catalogue of games. Super Mario Bros. still sells...and they're many SMB type catologue games that always will sell.

      While I understand the bloggers point, I would say the blogger doesn't understand "CORE" gaming. Yes, this segment of the gaming world is probably stagnant to slow growing, it is still the highest money maker per title. I love gaming, including social gaming...but my money mostly goes towards the traditional games, whether on the 360 or the Wii.

      I have a Wii and 360...and I've looked a super casual net gaming and quite frankly it holds no appeal to me what-so-ever. However, I can recognize it will hold some appeal to others who would never play GTAIV. But I would argue I spend much more than those people would, even if they outnumber me 100-1...over a year, I'll outspend them.

      I cannot imagine ever being sastisfied simply playing a free game on the net...that's for the non hard core crowd, which is fine and perhaps can be profitable down the road, but that doesn't take away from traditional game makers profitability. They are two separate pies...a hard core gamer used to Xbox Live, the Wii or PS3 isn't suddenly going to dumb down his entertainment choices due to a new group rediscovering simple gaming and lets not forget gaming was already larger than movies before the Wii and mass gaming...so again, two different pies.

      IE- the core crowd which is large and quite ample with their money is not going to suddenly give up Madden or GTA. At the same time, someone like ERTS or TTWO should also not sit on their laurels and just depend on old fashion game sales either.

      To me, the succesfull company in the future will do both, in the same way Toyota sells the Yaris as well as a huge Lexus....different customers want the same product, but tailored to different tastes. Forward looking companies will do both, as you need the revenue stream from both to truly be succesfull.

      But don't get ERTS long and well documented struggles fool you...that's them.

      As long as you are innovative, you can keep coming out with the same games, but innovation is the key...EA does not innovate, NTDOY does...and sure enough, what a difference in performance.

      View article »
    • Mon Nov 3rd 11:52 AM | Rating: 0 0
      Commented on:
      Electronic Arts: What Is the Problem?
      Take over target?

      I can't say I can argue with that logic, given the stock collapse. But one has to wonder what one would be buying with EA? Spore? The Sims? The sporting games? I don't know...I would hope for better and newer IPs, outside of SPORE I guess.

      Either EA's leaving the faucet running or the its developers are way over paid, as clearly, its costs are way out of line with its revenues. No wonder it wanted TTWO (who beat out earnings, what 5 quarters in a row now?).

      It'll be interesting to see who, if anyone, makes a bid. Disney? Universal (GE?)? Time Warner? Merger with UBIsoft or someone else?

      I must say the price of the shares are very attractive due to their slide, but their current weak performance is very unattractive...if EA can't make money in this environment, it speaks of severe internal cost issues and mismanagement.
      View article »
    • Thu Oct 30th 17:13 PM | Rating: 0 0
      Commented on:
      Video Game Stocks: Beyond the Economic Slowdown
      ERTS is a loser stock and will be for a while...a doubling of the loss from last year? In a growing industry?

      As far as THQI, it is a buy at these levels, as is TTWO. But TTWO to me, could be the next ATVI as the quality of its games are tough to beat. Nothing can hold a candle to GTAIV and one can only hope they reinvest the money towards more franchise. The release of GTA Chinatown DS should further drive sales, even if the DS isn't exactly a hard core machine, it will see simply due to how many DS are out there.

      I would rank all the Cos. in this order:

      1. ATVI- Top of the game, but again, it cannot fall into the EA trap of doing sequels year after year, as you end up killing franchises with over-saturation. Guitar Hero will be the next big ATVI franchise to fall, the same way Tony Hawk fell.

      2. UBISoft-up & coming, beats all forecasts and has a nice wide array of games. Its partially owned by ERTS. I could see this company merging at some point.

      3. TTWO- Truly, the talent here is vast. Can they resign the Houser Twins? That is the biggest question at TTWO and expanding its lineup. I rank them 3rd based on potential.

      3. ERTS- Puts out a lot of games, but the quality isn't quit there yet, although progress is being made. If Rock Band leaves EA and MTV publishes it on its own, it would be a big loss. Its sporting business also needs help or simply a breath of fresh air, as most games feel like cut & paste from the previous version. The losses and missed earnings estimates is great cause of concern.

      4. THQI- barely any debt and tons of cash...they just need to put out better quality games.

      5. KNM- Konami...big company, but not so big in the west. DDR franchise will get competition from ATVI's eventual Dance Hero. Its rock game is not very good...I could see a merger with a western partner.

      6. Capcom- Said to be looking to merge with a western partner...TTWO? THQI? UBISoft? I'm sure the current financial mess is puttingt those plans on hold, althought the strength of the Yen vs. other currencies could facilitate this. But I doubt it.

      Anyways, ERTS missed earnings today, while NTDOY reports no slowdown on its end the very same day (outside of effects of the Yen's strength), shows that customers look for value and quality games...I'm not so sure EA offers either at this point.
      View article »
    • Thu Oct 30th 11:42 AM | Rating: 0 0
      Commented on:
      Activision Working on Popular 'Guitar Hero' Spinoff
      Its about time....the days of Guitar Heros dominance are numbered. The last few games have gotten lower and lower ratings and Guitar Hero World Tour has been rated significantly lower than Rock Band 1 or 2.

      Anyone who's played either Rock Band or Guitar Hero can tell you which game is better as well, so for me, I worry about this franchise for Activision...I also worry about Call of Duty, as at some point that will get old as well. The problem with releasing games each and every year of the same title is they get old real fast...ask Activision about Tony Hawk games, for example or simply ask EA, who for a while was putting out the same games over and over again.

      With MTV/EA signing The Beatles onto Rockband for 2009, I repeat...the days of Guitar Hero's giant success are numbered, so ATVI will need to keep doing what its been doing, which is create new winners to replace the old ones.
      View article »
    • Wed Oct 22nd 17:20 PM | Rating: 0 0
      Commented on:
      Consolidation in the Gaming Industry During the Economic Downturn
      I agree with you Bruce...just picked up some THQ today.
      View article »
    • Tue Sep 16th 16:25 PM | Rating: 0 0
      Commented on:
      GE: Struggling Short-Term, But Should Do Fine Long-Term
      Long term holder of GE, bought some again today. The co. will be fine, no worries...I would hope the the market malaise leads GE to be an acquirere of companies to grow various businesses in the future. Lots of cheap stuff out there and GE (unlike JPM, BAC or C) has yet to lose a dime, as it still reports profits. So let's hope GE gets back on track and makes some timely purchases to augment its various businesses.

      Long GE, especially at the current prices.
      View article »
    • Thu Sep 11th 11:44 AM | Rating: 0 0
      Commented on:
      The Take-Two/EA Merger Saga Continues
      Take Two is not Yahoo! Completly different scenario outside of both were offered buy outs...that's the only thing in common that and this proposed mergers have. Yahoo!'s on the way down...Take Two is coming off a high and looking towards better times. Business wise, they're on completly different tracks.
      View article »
    • Mon Sep 8th 19:27 PM | Rating: 0 0
      Commented on:
      Why Microsoft's XBox 360 Will Outsell Nintendo's Wii
      And one more point...I would never buy any TV that has a built in console. Ask anyone what they thought of those TVs with VCRs built in or DVDs...they stink and usually break before a separate unit of each would've. I prefer to keep each separate.

      Usually, you're pretty right on Bruce...but not this time. I disagree with almost all your points. In my opinion, the race is over and the Wii has won. I own a 360 & a Wii and yeah, I enjoy the 360 more (but not that much more), but hard-core gamers aren't the mass market and no...the mass market will not graduate to the 360 and its 10 buttons on one joystick. If they haven't move before historically, they won't move now...the Wii is not a gateway to hardcore gaming, its a gateway to regular gaming that brings people back to their youth when everyone could hope in and play a game of Pac Man, per say, like in the 80s at arcades.

      The DS and its success proves it further. The mass market cares about having fun and the Wii delivers that much more efficiently (and all uncompassing) than any 10 button joystick supported console and that will never change.

      View article »
    • Mon Sep 8th 19:13 PM | Rating: 0 0
      Commented on:
      Why Microsoft's XBox 360 Will Outsell Nintendo's Wii
      Bruce, your cost analysis is off.

      The 360, in its true glory, requires 1) a hard drive that must be bought off MSFT ($100 at least) and a subscription to Xbox Live, if you want to have Xbox Live...which is the point. That's another $50 per year. What about the WIFI Antenna at $100? Its built in with the Wii and PS3.

      So really, you either pony up more money in parts or you have to pay the $299 for the real 360. But no one who buys an arcade 360 will be able to experience the 360 for what it really is and you absolutly need to spend another $50 on Xbox Live. If anything, you're going to have pissed off uneducated parents who buy this thinking its ready out the box...when its not. Its misleading pricing.

      So the true 360 pricinig remains at $350, if you argue that the 360 is superior...you need to have access to those features and that means hard drive and Xbox Live subscription.

      The NES, SNES, Genesis, etc...all those who hit the magical sales drive of below $200...didn't need extra stuff to enjoy them fully. So while the price has been reached, it really hasn't as you need to pay more money to enjoy all the features of a 360.

      What about the fact that you also need an HD-TV? The Wii, does not. In a recession, I don't see people ponying up $350 for a 360 and then $800 for a decent HD-TV.

      What about the Red Ring of Death and the fact that many people refuse to get one due to the poor reps? I know someone who bought a new 360 Ultra or whatever the black model is and he got the RRoD in one month. That was in April or May, whenever GTAIV came out, o, so clearly, that's not solved. He played it for hours at at time with GTAIV and sure enough, RRoD. One month Bruce!

      I'm not sure what traction you find in Japan, when the PS2 and every other system outsells it...selling 3k per week is fine and dandy if you're coming off selling 200 per week previously, but its still last place.

      So I would have to disagree, especially as the Wii can lower its price much more as it is already profitable per unit and therefore, could easily be cut to $199 as well..

      I expect to see a bump, but not that big of a bump as the true pricing is still at $350 if you want the whole 360 package.

      This is not the same as the previous consoles in history...its a fake entry price point...you should know that Bruce.

      View article »
    • Thu Sep 4th 11:07 AM | Rating: 0 0
      Commented on:
      It's D-Day For Take-Two Interactive
      I would expect a positive announcement, but you never know! Can't be right all the time, but I'm long with you so let's hope that 1+2=3 and not some other math I'm not familiar with.
      View article »
    • Wed Sep 3rd 11:08 AM | Rating: 0 0
      Commented on:
      Invest Cautiously for the Rest of 2008
      Nintendo in Japan just raised its sales and profit forecast by 25% last week, for total global takes and they are a 100% consumer company. So its not all bad, but clearly, we are in a recession with head winds, as you mention. It will be a stock pickers market, as it has been. However, in this case I do beleive Dell has its own issues as compared to the rest of tech...not too say there might be weakness, but until I hear otherwise, Dell is using the global recession as an excuse for its weak sales and subpar products. And I can't stress enough the subpar part...in the past year I've had one person buy two laptops from Dell and they both broke for different reasons. Dell has a bad rep, at least with the people (consumers) I speak to on a daily basis...you try to avoid a Dell now due to their poor quality and customer service. I bought an HP earlier this year due to these reasons and I haven't been disappointed.

      But anyways, yes, it will be a tough market but I am not yet convinced the rest of tech will be hit as hard Dell.
      View article »
    • Fri Aug 29th 09:48 AM | Rating: 0 0
      Commented on:
      Why I'm Backing Up the Take-Two Truck
      I agree with the earnings logic. Lets hope they don't disappoing, but I hardly, hardly beleive it. If TTWO had the balls to get EA to sit down to a presentaion for a higher bid, it certainly isn't going to turn around and miss earnings.
      View article »
    • Tue Aug 26th 11:14 AM | Rating: 0 0
      Commented on:
      Electronic Arts: Still Wining and Dining Take-Two
      TTWO should take the deal at $30 or above. Anything below that and EA can go fly a kite. Give it a few months, let the GTAIV money work its way through TTWO and when new games come out (GTA DS, GTA episodes, Midnight Club, The Badlands, and others), we should sail by $26 in ease. Once TTWO fully established that 1) its not just about GTA and 2) the poor management of the past is gone, the stock should be priced similar to its peers and not below it, as it is now.

      Bottom line is at $26 the stock is stolen by EA, as the metrics for TTWO at $26 indicates its priced lower than even THQ, which has nothing going for it. I'd rather skip on that $26 and be patient.

      Long on TTWO since $13/share...already made some good profits, but I can still recognize that $26/share is Grand Theft Auto, this time by EA. Call me greedy if you'd like, but I and TTWO management ain't stupid. Its time EA recognizes this or get off the pot and move on somewhere else.

      Raise the price and get the deal done or lets move on.
      View article »
    • Mon Aug 25th 13:03 PM | Rating: 0 0
      Commented on:
      NBC's Olympics Web Strategy Came Out a Loser
      March Madness is live on US TV and it is an office sport to follow it from work. The olympics, where most of the events were not live and in the middle of the night, are not what march madness is to US households. So no, I think its false analysis to think that the olympics would somehow trump march madness internet use in the US. I would for sure think CBS would pull in more ad revenue, that should be basic.

      That's simply called not knowing the public and how each individidual sports is viewed. I watched these olympics on TV as the web (given all the results posted) would just ruin your experience...and the few times I did check the net, it did ruin it for me as I knew the winners and loser prior to them being shown at night on TV.

      Not only that, NBC had so many channels with olympic covergae...why watch these sports on the web, with bad connections, no HD and tiny screens? You thinkn Americans wait every four years to see these sports on a tiny tube? I love the web...but not for sports (outside of results) for exactly the reason that monitors are tiny and not well suited for sports. And I have a 22 inch monitor, but still...rather watch it on TV

      March Madness also benefits greatly from office pools...everyplace I've ever worked has ton of people who never wach one second of the games on TV checking the web constantly for results...just to see where they are in the office pool.

      So that's a poor comparison as NCAA basketball as developed into something more than just sports fans watch, but something the office world in the US does to pass the time. The olympics, once every four years...will never reach that level and I am surprised a column like this one was written.

      I thought it was obvoius, I know my own habits...the olympics on the webt isn't happening, its still better on TV and there's nothing NBC could've done to change that short of coming into my house and hooking up the web on my 60 inch TV

      Poor anylisis in my opinion...no amount of live streaming or anything else would've changed my viewing habit. Olympics are meant for the big screen and without the need to check your stat sheet to see if your winning an office pool, there's not much reason to check the net for the olympics. And if I did, yeah...I got to what I know which is Yahoo!. No matter what network you put in for the olympics, I would still revert back to what I know on the web, which is Yahoo! or Google.
      View article »
Loading...
Symbols:
Authors:
Quick Links:
Contribute an Article Become a Seeking Alpha Contributor

Transcripts

More Transcripts»