Replies to post #20335 on InterDigital Inc (IDCC)

[mickeybritt]

Danny Detail

There is one fairly smart money manager who seems to thinks stock options and pay benefits of CEO'S are ridiculous, and his name is Warren Buffet, and to the best of my knowledge he encourages shareholders to be more vocal and active.

Mickey

[ziploc_1]

Danny
Stock options are justified in companies with no cash to pay executives what they are worth. Idcc is no longer in this category. Managers should be paid salaries commensurate with their responsibities. If they do an unusually good job, they should be awarded a reasonable bonus and a raise. If they don't do a good job, they should be replaced by those who can. I spend my hard earned money to buy shares in this company and if the managers want to own shares, they should spend their own money. To give them shares via cheap options which they then trade for huge profits is a fraud on the investing public. I don't care what W.S. says.

[sailfreeee]

Danny:

You said "can produce superior investment results" which has me confused by what you said (I think) a while ago and that is that instutions are not looking for the grand slam but rather to look for consistent singles. I believe we, the individual investors are more likely to be looking for "superior" results.

With that said, I believe the instutions are are "friends" to a point. That is once they get their single or double, they may move on and in the process pull the rug out from those of us that are swinging for the fence. Just something to watch for IMO

[EconEli]

Danny, I believe you are incorrect in your assumptions.

I believe that the best way to maximize your investment is to realize that you are both an investor in, AND a quasi-owner of, the company in question.

If you focus on one to the near exclusion of the other, you will relegate yourself to mediocrity. If you think 20 or even 40% net annual gains are the maximization of your money then I suppose we won't ever see eye-to-eye on the issue, but I have been contacted by the CEOs / upper management of several companies I have invested in, and their responsiveness and reactions to certain issues in some cases took precedent over all else in my decision-making process. If I had opted not to discuss matters with these people, or give any weighting to their actions / reactions, I would not have done as well as I have.

To truly maximize your investment, you have to realize that nothing occurs in a vacuum. I realize that this is heresy to the modern-day investors line of reasoning, but then, modern day investors don't have all that great of a track-record do they?