Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Nice find:
"So what’s Bushnell going on about?
Who knows. But it might have something to do with this: In addition to being the inventor of Pong, and founder of Atari and Chuck E. Cheese Pizza Time restaurants, Bushnell also serves on the board of directors of Wave Systems (WAVX). And Wave Systems is a leading–but apparently struggling, provider of hardware-based digital security based around–you guessed it–the Trusted Platform Module."
Volume starting to move.
I believe there is some misunderstanding on HRCT's ACRA and whether the evaluation is good or bad.
Here is EBay's ACRA for comparison:
eBay Inc. is currently rated as having Aggressive Accounting & Governance Risk (AGR), receiving an AGR Score of 45 out of a possible 100. This places them in the 15th percentile among all companies, indicating higher Accounting & Governance Risk (AGR) than 85% of companies.
http://finapps.forbes.com/finapps/AccountingRisk.do?tkr=EBAY
Thank you. That does indeed look good.
Can you please provide a link?
At the end of Feburary 2008 WAVX closed at 1.35.
By April 1, 2008, WAVX was down to .97. I believe that gap will close more quickly than it formed. It's like a train coming out of a long, uphill tunnel. Now there's daylight and the engine has reached the peak.
Here's the closing SP and volumes over the last 4 days.
0.69 134,928 pre CC
0.70 308,046 post CC
0.70 132,603
0.75 168,422
Very funny. But, for what its worth, most wavoids know what each of those acronyms stand for.
Those remarks were certainly positive. I was only able to hear half the CC. Were there any questions regarding how long Dell will continue to pay WAVX for bundling its software? A loss of income from Dell would be a major hit on WAVX at this stage.
I do not think so. As the scenario around Wave continues to improve, there will be less and less holders of WAVX shares willing to sell. May there be weeping and the gnashing of teeth to all those selling at these absurdly low levels.
I agree, but when do you think this earnestness will become earnest?
For those into technical analysis WAVX has pushed above its 200-day moving average.
http://moneycentral.msn.com/investor/charts/chartdl.aspx?PT=8&compsyms=&D4=1&DD=1&D5=0&DCS=2&MA0=2&MA1=0&CF=1&D9=1&D7=&D6=&showchartbt=Redraw+chart&symbol=WAVX&nocookie=1&SZ=0
IT is the new frontier for military and intelligence activity…
In one corner is the Department of Homeland Security, which operates the National Cyber Security Centre (NCSC), a body set up to co-ordinate America’s various cyber-security efforts. In the other corner is the National Security Agency (NSA), which thinks it ought to be in charge. At stake are tens of billions of dollars in funding promised for a multi-year cyber-security initiative.
(www.economist.com/opinion/displaystory.cfm?story_id=13527677)
My interest is very high. Since analyzing 10Qs is not my forte, I was hoping to see somebody else come up with some perceptive analysis.
No major point. Just a historical footnote.
From the way back machine:
June 18, 2000
IT is just after 9 one June evening in this rural town, an hour's drive from Chicago in light traffic. David L. McCoy is sitting with his laptop in an office nook of his house, tracing his finger along a curve on the screen, heading down, down, down.
''That was Monday,'' he says, as his finger stops at the bottom of a stock chart that resembles a ski slope. The point under his fingertip represents a day almost two months earlier -- Monday, April 17. That was the day that Mr. McCoy stopped being a millionaire, and that his younger brother, Douglas R. McCoy, realized that he would have to sell his 1996 Honda Prelude to cover margin debts. And it came during a month when many investors suffered bracing losses that, overnight, erased fortunes built during the bull market.
The elder brother is trying to be philosophical. The money he had on paper for those brief shining moments, did not, for the most part, have a tangible effect on his life. He likes to joke that his ''$2 million truck,'' a Chevrolet Tahoe he bought by borrowing money from his brokerage account, is all he has to show for his market bravado.
Still, the losses hurt. The McCoy brothers bet almost their entire investment portfolios, as well as hundreds of thousands of dollars borrowed from their brokerage firm, on just one stock: the Wave Systems Corporation, a tiny company based in Lee, Mass., that designs semiconductors for use in e-commerce.
This strategy might seem foolish, but Wave did go from $1 a share in 1998 to $50.75 on March 1. By then, Dave McCoy, 36, a high school teacher of economics and psychology, held $2.34 million worth of the stock, after investing about $90,000 over three years. Doug McCoy, 31, a community college administrator, had $507,500 worth at Wave's peak, on investments of $30,000 to $40,000. Not bad for two sons of a school principal who came from solidly middle-class roots in the Chicago suburbs.
Terrance Odean, a professor at the University of California at Davis who researches investor behavior, calls a strategy like the McCoys' ''the correct formula to maximize the chance of a huge windfall.
''It's also the correct formula to maximize the chance of losing everything,'' he added.
You could say the story of the McCoy brothers and others like them makes a case for diversification. You could say it makes a case against margin investing. You could say it, of course, but it wouldn't matter, because the brothers' quest is as old as stock markets themselves: to find the next Ma Bell or the next Microsoft before anyone else does -- to pile in and get rich.
But the quest also has a new and increasingly popular dimension: the Internet, with its chat rooms. The McCoys and hundreds of others who think Wave Systems is that holy grail are prominent citizens of a thriving message board devoted to the company at RagingBull.com.
Many of the Web's most popular financial chat subjects are tiny stocks that most people have never heard about. Wave has attracted more than 200,000 messages in less than two years, more than the combined chatter on RagingBull.com devoted to Yahoo, eBay and America Online. The followers of the stock are a close-knit community; many of them socialize off line -- a kind of e-Kiwanis Club devoted to what it sees as careful consideration of a stock they intend to hold for the long term. They have even given themselves a name, Wavoids, and often refer to the company by its stock symbol, WAVX.
The McCoys and other Wavoids -- many of whom had more than half their portfolios in the company -- rejoiced together on the ride up and then suffered together as technology stocks took a pummeling. Wave fell 79.3 percent from its March peak to its April low. Pain, and gallows humor, spread across the Wavoid community.
''Well that was fun'' one chat-site Wavoid wrote during the turmoil. ''Just like a dental visit!''
Weeks later, Doug McCoy, married and the father of an 11-month-old boy, Kyle, is resilient enough to chuckle as he recalls his quandary.
''How do you go home and tell your wife, 'Honey, I just lost a quarter-million dollars?' '' he said.
And how do you explain that you're not ready to change a strategy best described as Wave-or-die?
Fantastic Voyage
The McCoy brothers first heard about Wave Systems in 1997 from another online investor. Dave McCoy had dabbled in some small stocks, while Doug McCoy, an associate dean at Waubonsee Community College, outside Chicago, had invested in mutual funds and blue-chip stocks but had never bought into a small company.
The brothers were excited about Wave's blend of technologies and its management. The company's main product is a semiconductor intended to safeguard and ease e-commerce transactions. Wave is also involved in a venture to develop technology that would allow broadcasters to transmit television shows and Internet content to home computers.
Wave has ties to some luminaries. The chairman and founder, Peter J. Sprague, was chairman of National Semiconductor, a big chip maker, for three decades. Among Wave's board members are George Gilder, the technology guru, and Nolan Bushnell, the founder of Atari, the pioneering video game company.
Finding the company, Doug McCoy said, was ''the modern equivalent of finding gold.''
Wave's financial history, however, was decidedly less glittery. From its inception in 1988 through March 31 of this year, Wave has had total revenue of just $284,676.
The McCoys started buying Wave in small amounts in 1997, but within a year the stock accounted for most of their portfolios. Soon the McCoys got dozens of Chicago-area friends to invest, convincing them that Wave, as Doug McCoy said in one posting, would be ''the industry standard for metering and security on the Internet.''
They corresponded on the chat board with other Wavoids: lawyers, psychiatrists, a Coca-Cola bottler in Southern California, a Massachusetts accountant who recently conceded that he had ''broken every rule of investing'' and staked everything on Wave, and the last beauty queen crowned Ms. U.S.S.R., who posted a picture of herself in a bikini when Wave met a price target of $10.
About 200 Wavoids turned out for the company's shareholder meeting last November in New York, including people from Massachusetts, New York and California with license plates bearing the company's ticker symbol. One retired General Dynamics engineer wore a 14-karat gold tie pin bearing Wave's logo.
Wave was then trading around $16 a share. Many Wavoids had become rich, at least on paper, and were understandably giddy about a company that had, in some cases, brought returns of 300 percent.
Steven K. Sprague, Wave's chief executive and the chairman's son, has spent hours mingling and meeting with Wavoids at various functions. In an interview, he said that he was concerned about some of their investing practices.
''Is it appropriate to diversify? Yes. We are not a sure thing,'' he said. ''I tell my employees that having 99 percent in Wave is not a good idea.''
Few Wavoids were as zealous as Doug McCoy, who compiled a 600-page compendium of board postings and e-mail messages, called WAVX 101, for fledgling investors. After the shareholder meeting, the McCoys, more convinced than ever about the company's prospects, began to invest on margin, using money borrowed from their broker, Web Street Securities, to increase their position. By the end of March, such purchases accounted for about a third of their positions.
For a short while, the strategy proved lucrative. Wave skyrocketed in February, though there wasn't much company news driving the stock. Then, in March, Wave hit its all-time high after reporting that it had received $122 million in a round of private financing.
Suddenly, Dave McCoy was a millionaire twice over, and his younger brother was a half-millionaire. Many other Wavoids were also margin millionaires, and the mood on the Raging Bull board turned euphoric.
''Can I ask a stupid question?'' one chat board message asked. ''Why do some people refer to WAVX as 'risky?' Am I missing something?''
Another Wavoid started a contest offering a 10-share prize for the person who could guess when the stock would hit $187 a share. Of the 276 contestants, Doug McCoy was the second-most bullish: he guessed March 15, or in about two weeks. His brother said April 9.
''The day it moved from $40 to $50, we made $500,000 in one day,'' Dave McCoy said. He celebrated by going on a shopping spree with his wife, Sharon, for some clothes for their two young daughters. In late March, a co-worker and fellow Wavoid with a small plane offered to fly him down to the Florida Keys for a fishing trip.
''It was kind of our 'Great Gatsby' trip,'' Mr. McCoy said. ''We had our Roaring 20's experience, then came home and came back to earth.''
Down in a Flash
Indeed, the McCoys and some other Wavoids who bought on margin had a sudden and rough landing.
On March 29, the brothers received e-mail messages from Web Street, their online broker based in Deerfield, Ill. They were told that U.S. Clearing, the New York-based intermediary that processes Web Street's trades, needed cash to meet margin calls in the McCoys' accounts. Unless they wired the money into the accounts by April 5, the messages warned, shares might be liquidated for them.
David McCoy needed to produce $221,778, and his brother $43,000. Initially, the McCoys, not understanding why the money was needed for a margin call, assumed that it was a mistake. They had little reason to suspect trouble. The Nasdaq composite index was still up 14 percent for the year, and only the day before, Wave had again topped $50.
Left unsaid in the e-mail messages was that U.S. Clearing, a unit of FleetBoston, had raised the margin requirement on Wave Systems from 50 percent to 75 percent. Clearing firms are allowed wide discretion to raise margin requirements above the benchmarks set by the Federal Reserve and market regulators, with little notification.
A spokesman for U.S. Clearing said the company sometimes raises its margin requirements on speculative stocks that have had sharp spikes in their prices, on the assumption that declines could be just as pointed.
But to the McCoys and many other investors in April, the sudden changes were baffling.
''Wave had just received $122 million in financing,'' Doug McCoy recalled. ''Why would it change?''
On April 4, Wave closed at $28.50, down 40.5 percent in just over a week. ''TIMBER!!!!!!!'' exclaimed one chat board posting. ''WAVX margin investors . . . Get ready for the margin call from your broker . . . Sorry guys, don't quit your day jobs just yet.''
Web Street granted the brothers a temporary extension, during which they set about trying to transfer their accounts to a different broker with a lower margin requirement.
The overall slide in technology shares became severe, meanwhile, spurred in part by higher-than-expected inflation numbers, interest rate fears, Microsoft's antitrust woes and concerns about inflated valuations. Investors of many types suffered, and the McCoys' margin debt swelled. Their account transfers also stalled; ultimately, they were unable to move their accounts until a couple of weeks after the Nasdaq, and Wave, hit bottom.
The McCoys, along with two other Chicago-area Wave investors, say they plan to file a claim against Web Street for arbitration by the National Association of Securities Dealers. They contend that Web Street misinformed them about the transfer process.
Web Street executives say that such transfers often take weeks and that they acted appropriately. ''We really bent over backwards for these individuals,'' said D. Jonathan Rosenberg, chief operating officer of Web Street. ''The market went against these guys, and that's the bottom line.''
By Friday, April 14, when Wave was still dropping and after the brothers realized that the transfer would not go through in time, the McCoys received new e-mail messages warning that their stock would be sold to cover margin debts at 11 a.m. on Monday.
That weekend, the two families pondered what would happen if Wave fell even further before the debts could be covered. If the worst happened, they decided, they would all move in together and make the best of it.
''Monday morning, I got up, kissed my wife and said I hope we have our house when I get home,'' Dave McCoy recalled.
The day did not start auspiciously. Wave opened at $11 a share. Mr. McCoy, who stayed home, had not slept for several days. Before the market opened, he got a call through to Web Street's trading floor. Hoping to avoid a fire sale of his stocks later in the day, he began liquidating much of his position. For 45 minutes, he stayed on the phone selling off blocks of shares into a seesawing market as many individual investors unloaded their stocks.
By noon, he called his wife.
''Well, we made it,'' he told her. They had come out of the frenzy with $64,000 left in their brokerage account. Sharon McCoy, who says she never fully comprehended the stock gains in the first place, comforted her husband, who had hoped to be able to retire early. ''We have our health and we have our work,'' she told him.
Doug McCoy, meanwhile, got to his office at 6 a.m. and started crunching numbers. He figured that if he could sell at $17 a share, he could walk away with nothing, but also without any debt. ''If we dropped back to $10 or $12,'' he said, ''I would have had to file for bankruptcy.''
With the shades drawn in his glass-walled office, he started selling as Wave fluctuated between $14 and $17. ''At the end of the day, I owed them $14,000,'' he said. ''I had over $300,000 in profit I had built in three years that I watched get flushed down the toilet. I walked outside my office and sat in the quad of the college, sat there just dazed. I'll never get that $300,000 back.'' To help pay for the shortfall, he sold his car.
A Hope That Doesn't Die
A month and a half later, Dave McCoy sits in his home office nook, pondering his whirlwind tour of Internet fortune. On his desk is a neat pile of seven banana-yellow Wave T-shirts, a ''Bob Seger: Greatest Hits'' CD, a row of mystery novels and a copy of ''Parenting for Dummies.'' His 3-year-old daughter, Kelsey, rummages through a basket of toys.
While his brother is generally upbeat, Dave McCoy has taken the loss harder. He has, after all, lost a lot more. Still, he says, it helps that little about his lifestyle will change.
''I never had it,'' he said of his paper millions. ''I never used it. I looked at it. Has losing it changed the quality of my life? Not a bit. Just my ability to realize some dreams.''
Will he consider diversifying?
''Diversification is more or less an excuse for not being able to read the future,'' he said. ''If I had half in an index fund and half in Wave, it would take me 10 years to get my capital back instead of five.''
Though each of the McCoy wives says she will pay more attention to her husband's trading and use of margin, both seem less bothered by the investment losses than their husbands are. But Patricia McCoy, Doug's wife, did feel it when she lost something tangible.
''I lost my car,'' her husband says, starting a thought.
''Your car?'' she asks, grinning at him as their son shifts in her lap. Her husband reconsiders his comment.
''Your car,'' he acknowledges.
Later, his wife is more pointed in her appraisal. ''WAVX was like a drug for them,'' she said. '' 'Oh, did you see it drop, did you see it drop? Oh, did you see it go up? Did you see it go up? Let's go to the auto show and pick out our Porsches.' The boys were way too close to Wave.''
The brothers would come home from work, head directly for their computers and field an endless stream of phone calls from other Wavoids, usually at dinner time.
''When it crashed, I was actually kind of relieved,'' Ms. McCoy continues. ''We were living in a fantasy world. We'd had our big blow, and now we could get back to reality.''
But true love can be hard to extinguish. Both brothers are back in Wave.
Dave McCoy is trading in and out of the stock with the $64,000 he salvaged, hoping to make quick gains that will enable him to rebuild his position.
Doug McCoy bought back in after receiving, he says, hundreds of checks, gifts from other Wavoids looking to help one of their most devoted and likable brethren. As of last week, he had purchased 500 shares at $17 to $18, waiting for Wave to begin a new climb. He announced his return in a recent note posted on the Wave board. ''Let the healing begin,'' it proclaimed.
Photo: Douglas McCoy, front, with son, Kyle, and his brother, David, with daughter Haley. The McCoys lost a paper fortune in Wave Systems stock. (Steve Kagan for The New York Times)(pg. 8) Charts: ''Mad About You'' Some of the busiest message boards on the Raging Bull Web site feature obscure companies with fanatical followings, like Wave Systems. Here is a look at some of them, and what participants had to say during April's Nasdaq collapse. Revenue and net income figures are for the last four quarters available. Market cap and beta figures are as of Friday. MPTV Operates and manages resorts and theme parks. MARKET CAP: $43 million BETA*: 0.32 SAMPLE POSTING: ''Get tough. We're gonna make it. Stay away from tall buildings and bridges.''(April 17) Wave Systems Creates technologies and services to secure and sell digital information. MARKET CAP: $761 million BETA*: 1.27 SAMPLE POSTING: ''I am NOT selling nothing, stick this out and reap the rewards.''(April 14) Starnet Communications Develops Interent technologies for established markets. MARKET CAP: $91 million BETA*: 1.08 SAMPLE POSTING: ''Sitting on a huge paper loss.... Now I am wishing I will wake up in a few minutes from this nightmare.''(April 10) Fonix Develops human-computer interface technologies and solutions. MARKET CAP: $209 million BETA*: 1.09 SAMPLE POSTING: ''We have to stick together and BUY the #### out of FONX now!'' (April 14) e.Digital Develops portable products that link to personal computers and the Internet. MARKET CAP: $623 million BETA*: 0.33 SAMPLE POSTING: ''I CAN'T BELIEVE THE BARGAIN WE HAVE HERE!'' (April 12) Charts show revenue and net income for companies *A measure of a stock's volatility versus the Standard & Poor's 500-stock index. A beta below 1.00 means the stock is less volatile than the index; a beta above 1.00 means it is more volatile. (Sources: Bloomberg Financial Markets; Raging Bull)(pg. 9)
http://www.nytimes.com/2000/06/18/business/chat-room-millions-real-life-misery.html?partner=rssnyt&emc=rss&pagewanted=all
SAN FRANCISCO, April 21 /PRNewswire/ -- RSA CONFERENCE(R) 2009 -- During the opening keynote at RSA Conference 2009 Art Coviello, President of RSA, The Security Division of EMC EMC cautioned that the global cyber-threat continues to escalate and online fraudsters are more organized, collaborative and effective than ever. He addressed major forces such as the economy and emerging technologies that are driving the information security industry to evolve and adapt -- and how these forces provide an opportunity for "inventive collaboration" to effectively restructure the information infrastructure. Coviello also provided examples on how RSA is working to foster inventive collaboration around key practices.
http://news.moneycentral.msn.com/ticker/article.aspx?Feed=PR&Date=20090421&ID=9819521&Symbol=EMC
2009 This year 6.1 million students will graduate from Chinese universities, nearly 6 times as many as in 2000. Next year the figure is expected to reach about 7 million.
(Econ, 4/11/09, p.40)
Hey MF
I posted that on the wine board by accident. It was intended to address the many participants on the WAVX board.
You are/were lucky to survive the recent "virus plague." It knocked me out to the count of nine. I had to reformat my hard drive. Fortunately the small business that built my system was able to save my critical files at a reasonable cost.
Under the current economic conditions my budget has locked me into the best of deals at Trader Joe's. My dinners these days are usually accompanied by R.C.T.J.W.F. Zinfandel ($4.99). That's on a splurge, for most nights feature TJ's Cabernet Sauvignon at 3.99 or TJ's Shiraz at the same price.
Do you do ice wine when you go ice fishing?
A
Lucky you. Hopefully you can provide us all with some feedback.
I tried to get a WAVX pass to the RSA meeting next week in San Francisco, but was turned down due to high demand and an over-subscription, which of itself is a good sign.
Is anybody planning to be there, especially for the April 20 WAVX sessions?
Looks like that deal is dead:
SAN DIEGO--(BUSINESS WIRE)--Jan. 21, 2009--Nanogen, Inc. (Nasdaq: NGEN), developer of in vitro diagnostic products, today announced that it has received permission to investigate alternatives to its announced merger with the Elitech Group. Nanogen requested and Elitech agreed to waive the restrictions in the Share Exchange Agreement related to Nanogen's right to investigate alternatives because Nanogen and Elitech believe it is unlikely that closing conditions to the merger contemplated by the Share Exchange Agreement will be met by March 31, 2009.
http://phx.corporate-ir.net/phoenix.zhtml?c=105681&p=irol-newsArticle&ID=1246648&highlight=
Not clear if this is still pending:
SAN DIEGO, CA, and PARIS, FRANCE August 14, 2008 — Nanogen, Inc. (NASDAQ: NGEN), developer of molecular and rapid in vitro diagnostic products, and The Elitech Group, a private French diagnostics company, announced a definitive agreement to combine the two companies. The combination will create a global provider of products to the molecular, point-of-care, clinical chemistry and microbiology diagnostics markets with expected first year revenues of more than $150 million and positive EBITDA. The transaction combines Nanogen’s technology leadership in molecular and point-of-care diagnostics with the strong revenue and profit base stemming from The Elitech Group’s global manufacturing, sales and distribution of IVD products for the clinical chemistry and microbiology markets. The board of directors of both companies unanimously approved the agreement to combine the two companies.
http://www.nanogen.com/presscenter/pressreleases/5586/
Amen to that. May your IMO soon come to pass.
On or about May 12 we will know if WAVX has finally reached "break even" or perhaps even profitability. SP should climb in anticipation. Advance good news could be a really good propeller.
SED = Self Encrypting Drive
Can anyone here present an analysis of how WAVE's TPM-based security software fights off computer worms and viruses such as the expected April 1 Conficker worm:
Conficker, also known as Downup, Downadup and Kido, is a computer worm that surfaced in October 2008 and targets the Microsoft Windows operating system. The worm exploits a previously patched vulnerability in the Windows Server service used by Windows 2000, Windows XP, Windows Vista, Windows Server 2003, Windows Server 2008, Windows 7 Beta, and Windows Server 2008 R2 Beta. The worm has been unusually difficult for network operators and law enforcement to counter because of its combined use of advanced malware techniques… Variant C contains code to sidestep these countermeasures by generating an expanded daily list of 50000 domains across 110 TLDs. This new pull mechanism, however, is disabled until April 1.
(http://en.wikipedia.org/wiki/Conficker)
HRCT's past performance has indeed been dismal, but the future does seem to have some light. Its move into the education realm is real and so IMHO are the current revenues.
All Quiet on the Western Front. Perhaps something is brewing. The current quarter is ending and with a little luck we will soon be in the midst of our first cash flow break even quarter.
Buckle up... Chuck
Wallpaper...
Excellent presentation. WAVX implicated but not mentioned by name.
"i challenge anyone to provide a credible exlpanation as to why Wave continues to operate at a loss for aboot 10 years or more?"
Challenge accepted:
The market was not ready, the right products were not ready, the major players were not yet united in a credible approach.
All that has now changed. Look at the quarterly revenue growth for the last year.
I have always viewed HRCT as a long term investment. I certainly hoped that by now the share price would be much higher than it is now.
That said not only has the company survived major structural problems, but it has now totally morphed and placed itself in the middle of potentially the largest economy on Earth and in the most fundamental aspect of that economy, i.e. education. I believe the potential here is extraordinary.
It is a major philosophical, or perhaps in this case psychological, fallacy to bundle together different groups of managers in different countries and then to suspect some sort of identity between them. HRCT now has new management embarked on a new course. All fiscal ties to past problems have been severed. Residual roots, e.g. high share number, are still being addressed. Share number will soon be cut in half. This will allow HRCT to leverage its resources for continued growth in China's expanding education realm.
It could also mean a new beginning, which I am inclined to believe taking into account HRCT's corporate performance, as opposed to share price, over the last year. IMHO corporate health is more critical in the long term than short term share price.
All in good time.
That is a possibility, but management would also realize that possibility and their shares would also fall in value. This would not make sense unless they plan to counter the expected dilution or fall in share price with news of growth and/or profits and/or acquisitions. Would be nice to see a 3-bagger.
A little bit... i.e. it is engaging and expected to grow.
Here's a nice little summary of WAVX earnings over the years:
Wave Systems net loss [.11] vs [.08], rev, none, 5/9/1999
Wave Systems net loss [.21] vs [.12], rev 51k vs 11k 11/13/1999
Wave Systems net loss [.19] vs [.15], rev 55k vs 12k 8/11/2000
Wave Systems net loss [.24] vs [.19], rev 190k 8/10/2001
Wave Systems net loss [.22] vs [.34], rev 230k 11/14/2001
Wave Systems net loss [.12] vs [.19], rev 34k 8/14/2003
Wave Systems net loss [.15] vs [.24], rev 80k 11/13/2003
Wave Systems net loss [.07] vs [.19], rev 59k 3/11/2004
Wave Systems net loss [.05] vs [.12], rev 50k 5/17/2004
Wave Systems net loss [.06] vs [.12], rev 6k 8/16/2004
Wave Systems net loss [.05] vs [.15], rev 44k 10/29/2004
Wave Systems net loss [.04] vs [.07], rev 108k 3/15/2005
Wave Systems net loss [.06] vs [.05], rev 80k 5/12/2005
Wave Systems net loss [.05] vs [.06], rev 260k 8/11/2005
Wave Systems net loss [.05] vs [.05], rev 335k 11/9/2005
Wave Systems net loss [.05] vs [.04], rev 350k 3/16/2006
Wave Systems net loss [.05] vs [.06], rev 490k 5/12/2006
Wave Systems net loss [.13] vs [.15], rev = 910k, reverse split 1:3 8/3/2006
Wave Systems net loss [.12] vs [.15], rev 850k 11/9/2006
Wave Systems net loss [.12] vs [.15], rev 870 mil 3/14/2007
Wave Systems net loss [.12] vs [.15], rev 1.287 mil 5/10/2007
Wave Systems net loss [.11] vs [.13], rev 1.4 mil 8/8/2007
Wave Systems net loss [.10] vs [.12], rev 1.73 mil 11/7/2007
Wave Systems net loss [.11] vs [.12], rev 1.87 mil 3/13/2008
Wave Systems net loss [.12] vs [.12], rev 1.7 mil 5/12/2008
Wave Systems net loss [.10 vs [.11], rev 1.99 mil 8/11/2008
Wave Systems net loss [.10] vs [.10], rev 1.83 mil 11/11/2008
Wave Systems net loss [.07] vs [.10], rev 3.3 mil 3/12/2009
WAVX’s last call for funds was on Dec 26, 2008. Revenues a year ago, May 13, 2008, rose 116% as compared to year earlier. On May 12, 2008, WAVX reported a rise in revenues of 32% as compared to a year earlier. On March 5, 2009, WAVX reported preliminary unaudited results for Q4 to be $3.3 million. The March 12 CC will verify the marked improvement in revenue, by as much as 176% from a year earlier. I believe we will hear that break even has been achieved.
2008 Mar 13, Wave Systems Corp. today reported Q4 2007 net revenues rose 116% to a record $1,875,000, compared to Q4 2006 net revenues of $866,000. The higher level of license revenues was principally due to royalties earned from a significant increase in the number of bundled shipments of Wave software by OEM partners. Gross profit rose to $1,643,000 in Q4 2007, or a gross profit margin of 88%, compared to gross profit of $656,000 in Q4 2006, or a gross profit margin of 76%, principally reflecting higher sales volumes on fully amortized software costs, offset somewhat by higher customer support costs. Wave reported a Q4 2007 net loss of $5.3 million, or $0.11 per basic share, compared to a Q4 2006 net loss of $4.8 million, or $0.12 per basic share.
(IHub #160640, 3/3/08)
2008 May 12, Wave Systems Corp. today reported results for the first quarter (Q1) of 2008 and provided an update on corporate progress and developments. Reflecting an increase in license revenues, Wave's Q1 2008 net revenues rose 32% to $1.7 million, compared to Q1 2007 net revenues of $1.3 million. Wave's improvement in license revenues was principally due to royalties earned from increased shipments of Wave software by Wave's leading OEM partner. Gross profit for Q1 2008 rose to $1.5 million compared to $1.1 million in Q1 2007, reflecting the higher level of sales.
(IHub #164,489, 5/12/08)
2008 Dec 26, Wave Systems Corp., a leading developer of trusted computing solutions and services, announced that it is selling to investors a total of 456 shares of newly designated 8% Series K Convertible Preferred Stock at a price of $2,800 per share, yielding gross proceeds in the amount of $1,276,800. Each share of Series K Convertible Preferred Stock will be convertible into 10,000 shares of Wave Class A common stock upon the election of the holder at any time or automatically on the date on which the average closing price per share of Wave Class A common stock for the 15 consecutive trading day period then ended equals or exceeds $0.70. In the aggregate, the Series K Convertible Preferred Stock is convertible into 4,560,000 shares of Wave's Class A common stock. Dividends will accrue at 8% per annum and will be paid in cash semi-annually. Additionally, for each share of Series K Convertible Preferred Stock purchased, the investor will also receive warrants to purchase 2,500 shares of Class A common stock at an exercise price of $0.28 per share. The warrants are exercisable for three years beginning on the date of the initial issuance of the warrants.
(Ihub #173,828, 12/26/08)
2009 Mar 5, Wave Systems Corp. reported today on preliminary unaudited results for its 2008 fourth quarter and full year ended December 31, 2008. Based on the company's preliminary unaudited financial results, Wave's Q4 2008 net revenues are expected to be approximately $3.3 million, compared to Q4 2007 net revenues of $1.9 million and Q3 2008 net revenues of $1.8 million. For the full year of 2008, net revenues are expected to be approximately $8.8 million, compared to 2007 net revenues of $6.3 million.
(Ihub #175,785, 3/5/09)