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OMIC bought out for $12 cash
nice!
geeze, the Royals have single-handedly made Detroit a new competitor for those last two AL Wild Card slots. Ok, the Tigers get credit as well. Real tough series. Hopefully better outcomes in the last nine games.
best.
FEIM thx gil, appreciate your take on this one since you know it well.
MITQ yield dude, thx for the info
HALO wade, JP Morgan downgrade to neutral w/$57 target
MUEL oldie but goodie... (I don't own) now $175 on the ask.
BUKS in fiscal year '23 and '24 (ending April) the first quarter ending July 31 has been there weakest quarter for the year. Hopefully that trend continues.
TOS works for me too.
OMIC not saying it will happen, but I have seen other cash-rich dinky biotechs 'seeking strategic alternatives to maximize shareholder value' (although these other one's did not have a cash offer on the table) decide to use their cash to buy some other piece of shite dinky biotech. That way, they are able to keep their huge salaries. I have not looked at execs level of ownership here, if they do own a lot then selling out may be better for them.
FEIM any new thoughts on FEIM going forward now that you've had some time to digest the quarter and outlook?
OMIC I guess they think they can get a better offer
r59, ADFJF they said in the CC not to expect (although its possible) any new order announcements very short term. They believe that their customer base is holding off on new orders until after the presidential elections. Hopefully new orders will come soon after that. Next earnings report should be in early December, and I guess the quarter should be revenue lightish, with margins a bit lower sequentially, and the backlog should be down a bunch sequentially if there are no large orders by Oct 31 like they expect. So it would be great if they get some big orders in November to counter all that. Obviously thats just a shortsighted very short-term snapshot.
wade, re KINS I own it, not sure about a price target. Personally, and I'm not saying you are wrong, but I would use a slightly more conservative fy '25 earnings estimate than the $1.50 you are using in fair value calculation.
hweb re OMIC yup, what you say is true. However, the price anyone bought it at is really water under the bridge. She's been trading for a while in the fives and sixes and thats how its valued in one's portfolio. So, imho, most OMIC shareholders should be at least a lot happier than they were at 3:59.
OMIC no guarantee at all that OMIC accepts the offer, but it does force them to either take it, look at some other strategic alt, or look for another buyer at a higher price. I mean I really don't trust any of these dinky cap biotech execs. But anyway............
........ohhhh L-rd of the markets, thank you for this offering....
I was actually thinking of selling half and wait 30 days to try and grab a tax loss... now selling at a nice tax gain afterhours. Had too much of this thang. Not selling all right now anyways. But selling a bunch around $9.35 just to make sure I am profitable on this gunk. I literally almost sold half in the f-ng fives this afternoon for that tax loss.
Singular Genomics Systems, Inc. (NASDAQ:OMIC) said on Thursday it has received a non-binding proposal from Deerfield Management Company, to acquire all of its outstanding shares for $10 per share in cash.
Deerfield, an existing stockholder of the company, indicated in its letter that it intends to invite other major stockholders and existing management to rollover their shares of common stock into the new company.
The board has formed a special committee to evaluate and consider the company’s strategic alternatives, which would include the proposal submitted by Deerfield.
KINS it was great they got a refi, but the terms of the refi were not great, imo.
PPIH I added a few today. And I agree with all you said. But it may not happen this time, but PPIH sure has a history of fading the big post earnings spike intra quarter.
Kik, Larry, thx
Kik, Larry, thx
MIND do you know off the top how many shares are o/s after the preferred conversion?
PPIH yup tough to buy up here, especially considering she has a history of falling back intra quarter.
GKPRF I own her. Small. Nice quarterly guidance but its up 57% sequentially over a very poor quarter. Qtrly high in revenues but the flip is their expenses have been going up a lot in recent qtrs as they've added to their sales force. I like the sector (sub sector or whatever you wanna call it)... these guys need to announce another really big contract, to piggyback on top of that BIG SEPTA contract announced one year ago.
best.
PPIH in with a .40/qtr. but didnt look closely. baklog high but gets huge with the new orders.
gil hweb re FEIM unfort for me, while I sold a bunch this past week, I still own half. But thanks for all your prior analysis and your comments kind of downgrading its value more recently. Anyway, sometimes you eat the bear, and sometimes the bear eats you. Looks like I'll be getting eaten up today. Any thoughts on buying if it hits a number? I mean there is plenty of time prior to next earnings. You've probably listened to the CC, I will try to listen/read today. best.
This probably won't provide you with more optimism, we all 'feel' as our fave teams hit bad streaks. But, there have been numerous statistical studies in all MLB and other team sports which show that strong end of year finishes and I believe weak end of year finishes do not provide a meaningful advantage or disadvantage in the postseason. Obviously if there are injuries like Yelich, that has an effect.
We all see our teams go funks, and hit really great streaks and really poor streaks. But its also been statistically shown that in basically all professional team sports, when looking back after one full season given a team's win loss record, the number and length of streaks is within expectations given that won-loss record. Just as when one flips a coin with obviously a 50 - 50 heads tails rate, we get pretty strong streaks, as expected.
In other words, with certain exceptions (injuries etc.), and this is just a general and 'for the most part' thing; each new game is memoryless.. again for the most part, (I mean obviously the two starting pitchers have an effect on each game etc, and how good a team you are playing effects that game). Not that I believe it completely.
Don't have time to look shite up on the serious baseball stat websites, but re end of year performance:
Does Finishing Strong Matter in the Playoffs?
https://www.truebluela.com/2009/9/28/1059648/does-finishing-strong-matter-in
KC Royals offense this year has been done with smoke and mirrors. Just look at the players.
Somehow, they have the third most runs scored in the AL (for a while long time they had the second most), but imo its a statistical anomaly. Third most runs scored yet their team offensive WAR is the 11th best in the AL. And its really worse than that sounds since the team offensive WAR is only one-tenth above the two teams just below them, but six-tenths below the team just above them.
I luv my Royals, but their offense is offensive once you really look at the actual players and their stats. And yesss of course Witt is amazzzzzzing, and Salvy is having a real good year.
KINS I don't think the terms are particularly great. But I guess the most important thing is that they got it done. I also was not expecting them to decrease the principal amount by $5 million considering the growth that they expect. I'd have to guess that they raised at least that $5 million through their ATM... we won't know till the tell us or until next their next earnings report comes out.
Judging by the action the market likes it... I suppose they think lowering the debt by $5 mil is a show of KINS strength. I sold some .. but I did add a decent amount in the eights, so just playing some for a quick trade. The market seems to like KINS prospects post this refi.
best.
Monday morning pre opening joke? Kid's walking down the hall in his house and hears screaming coming from his parent's bedroom. He opens the door and see's his father dressed only in chaps and his mother in a cheerleader's outfit and they are 'going at it'. Kid says, What's going on? Father says, don't worry sweetie, go to your bedroom and I'll be out to tuck you in a few minutes. Twenty minutes later the father is walking down the hall and hears screaming from his kids bedroom. He opens the door and his kid is having sex with his grandmother. The father says, 'Billy, what the hell are you doing???" The kids says, 'Its not so funny when it's your mother is it?'. Bdunk. B. Einstein.
Monday morning pre opening joke? Kid's walking down the hall in his house and hears screaming coming from his parent's bedroom. He opens the door and see's his father dressed only in chaps and his mother in a cheerleader's outfit and they are 'going at it'. Kid says, What's going on? Father says, don't worry sweetie, go to your bedroom and I'll be out to tuck you in a few minutes. Twenty minutes later the father is walking down the hall and hears screaming from his kids bedroom. He opens the door and his kid is having sex with his grandmother. The father says, 'Billy, what the hell are you doing???" The kids says, 'Its not so funny when it's your mother is it?'. Bdunk. B. Einstein.
thx cap
SMCI NT 10K out, (I picked up a few for a trade@ $438+ afthrs)
"Super Micro Computer, Inc. (the “Company”) is unable to file its Annual Report on Form 10-K for the period ended June 30, 2024 (the “2024 Form 10-K”) in a timely manner without unreasonable effort or expense.
In response to information that was brought to the attention of the Audit Committee of the Company’s Board of Directors, the Board of Directors has formed a committee to review certain of the Company’s internal controls and other matters (the “Review”).
The Review is ongoing and all parties are working diligently to complete the Review. Additional time is also needed for the Company’s management to complete its assessment of the effectiveness of its internal controls over financial reporting as of June 30, 2024.
Based upon the work done to date, the Company does not anticipate the 2024 Form 10-K will contain any material changes to its results for the fiscal year and quarter ended June 30, 2024 that were announced in the Company’s press release dated August 6, 2024."
VOXX from Seeking Alpha Henrik Alex article ex the charts/grapics
VOXX International: Upgrading To Strong Buy With Potential Break-Up Value Of $15
Aug. 28, 2024 12:05 PM ETVOXX International Corporation (VOXX) StockGNTX Alex profile picture Henrik
Henrik Alex
Summary
VOXX International Corporation shares surged 70% after announcing an exploration of strategic alternatives, including a potential sale of the company as a whole or piecemeal. Strategic shareholder Gentex recently increased its stake in the company to 32% after VOXX International declined its $5.50 per share takeover offer in late May. The company's high-margin Premium Audio Products sub-segment with its crown jewel Klipsch could be worth north of $10 per share. In aggregate, sales proceeds could reach $15 per share.
With the Gentex proposal likely providing a floor for VOXX International's valuation, risk/reward appears highly favorable.
Consequently, I am upgrading the company's shares from “Hold” to “Strong Buy.”
I am Henrik Alex, a seasoned contributor with a focus on offshore energy services and shipping. Join Value Investors Edge for more exclusive access to my work.
Note:
I have covered VOXX International Corporation, or “VOXX International” (NASDAQ:VOXX), previously, so investors should view this as an update to my earlier articles on the company.
On Tuesday, VOXX International's common shares soared by almost 70% after the company announced an “exploration of strategic alternatives in connection with its ongoing effort to maximize shareholder value”:
As part of this process, the board will consider a wide range of options for VOXX, including, among other things, a potential sale of the Company, a sale of segments, operational improvements, or other strategic transactions. Per its fiduciary responsibilities and to support its evaluation process, the VOXX board has established a strategic transactions committee which has retained Solomon Partners as financial advisor and Bryan Cave Leighton Paisner LLP as legal advisor.
In addition, strategic shareholder Gentex Corporation, or “Gentex,” (GNTX) disclosed the purchase of the remaining 3.15 million shares controlled by VOXX International's vice chairman Beat Kahli at an agreed price of $5 per share in cash. As a result, Gentex now owns approximately 32% of the company's common shares.
In addition, Gentex has proposed to acquire GalvanEyes LLC from Mr. Kahli, a company involved in the commercialization of VOXX International's iris identification technology.
The regulatory filing also revealed that on May 31, Gentex submitted a preliminary, non-binding proposal to acquire all outstanding shares of VOXX International at a price of $5.50 per share.
While the company decided against the proposal at that time, the board of directors indicated that it would invite Gentex “to participate in any strategic process that the Board might initiate.”
With VOXX International now formally exploring strategic alternatives, the Gentex proposal is likely to serve as a floor for potential competing bids.
Particularly, the higher margin “Premium Audio Products” sub-segment which mostly consists of the company's crown jewel Klipsch is likely to attract several potential suitors including Samsung Electronics (SSLNF) via its domestic subsidiary Harman International.
Assuming a debt-free valuation of 1x FY2024 sales, the company's premium audio products sub-segment alone could be worth more than $10 per common share. This is without assigning any value to the smaller “Other Consumer Electronics Products” segment or VOXX International's Automotive Electronics operations, which I would consider the primary target of Gentex.
At least in my opinion, the combined value of the other segments is likely to be well above VOXX International's $43 million in debt, adjusted for the recent $25 million asset sale to Established Inc.
For my part, I wouldn't be surprised to see the company's assets fetch closer to $15 per share in aggregate proceeds net of existing debt, despite persistent losses and sales declines recently:
However, gross margins have improved quite meaningfully in the most recent quarter. This is a result of restructuring activities in the Automotive Electronics segment and the launch of new premium audio products, which also contributed to a slight year-over-year sales increase in this all-important sub-segment.
In sum, I would consider the Gentex proposal to provide a floor for VOXX International's valuation, while upside could be very significant.
While there's always a risk of the strategic review not resulting in a sale of the company, risk/reward in this particular case appears highly favorable.
Consequently, I am upgrading the company's shares from “Hold” to “Strong Buy.”
However, it could take several quarters for the board of directors to review alternative proposals and negotiate terms of potential transactions. As a result, investors will likely require some patience.
For my part, I am looking to build a position by scaling into the shares on weakness.
Bottom Line
Following years of losses amid persistent sales declines, VOXX International's board of directors finally made the right decision by putting up the company for sale.
At least in my opinion, the Premium Audio Products operations with Klipsch could be worth north of $10 in a potential buyout. If the company is sold piecemeal, I wouldn't be surprised to see aggregate sales proceeds of $15 per common share.
With the Gentex proposal likely providing a floor for VOXX International's valuation, risk/reward appears highly favorable.
Consequently, I am upgrading the company's shares from “Hold” to “Strong Buy.”
However, it will take some time for potential transactions to materialize. Meanwhile, investors should consider building or adding to existing positions on weakness.
Roy Buchanan & Delbert McClinton - The Chokin' Kind
Big Joe Turner - Oke She Moke She Pop
Eric Burdon, Alvin Lee, Rick Wakeman's House Band - Trying To Get Back To You (GasTank Ep 1)
FEIM Special Divvy hit today
Swick I don't think you can discount the possibility of a sale of the biz now that they have gotten most of their shite in order. Perhaps the new CEO of a few months was brought in to do just that. He's 81 years old, and from his introductory 8k has been the CEO of many manufacturing businesses (mostly auto related). He purchased Lund International along with institutional money in 2007, led it for four years, and than sold it to a private equity group and he stayed on for a bit. So he has that kind of experience.
Two other company's where he was CEO were also sold to private equity, Thermal Systems Manufacturing in 2019, ,and Paradigm Packaging sold to a private equity group in 2013 but I do not think he was the CEO at the time of their sale. best.
SMCI value, nice... at least right now!