3SOF

A little optimism after my last post :

http://news.bbc.co.uk/2/hi/technology/3403605.stm

Thanks for info voova99 

Quote from: voova99 on December 22, 2005, 01:42:02 AM
David

"GigaMedia anticipates 20 percent to 30 percent growth in FunTown's business in 2006"


4mil. subscribers can't give faster growth?
Is that enough 20% in "fast growing online game industry"?   

May be WS waited for more substantial perspective..   

Best,
Vova

It is better to be modest and then surprise on the upside than to promise the sky and then fail to deliver. I think the last two days fall in the stock price wasn't anything more than profit taking after the acquisition news.

The stock yesterday touched its support at $2.79. I believe, as it is said in the article, that online gaming will grow exponentially over 5 years to come, and no worlwide economic slowdown is going to change that.

I'll continue holding GIGM for the long term.

David, no disrespect here, but what is long term?  if this drops to 1.40 are you going to sell for a small loss and buy at .80 cents?  5 years is a long time and wont go up the whole way.  I wish i could afford to only have 6% in this stock but i have so much more.  And im not obligated to you.   I will do my own thing.  I do not blame you for a stock going up or down or selling.  Just would like to understand.  What does David long term mean?

I thought TRAD and BRVO were long term too.  Maybe just say it has "long term potential".

wonderful, isn´t it??

Anybody

Help me to understand

In China online gambling is forbidden!!! But GIGM offer us "play for pay" ?!
I'm confused .. 

Best,
Vova

10 slides detailed presentation about the Funtown deal:
http://ir.giga.net.tw/downloads/conference/Funtown%20Script-Final.pdf

merry christmas!

Oliver

Everything is OK with GIGM, BUT I'm realy scared about GIGM business
and American law :

http://news.com.com/Wall+Street+bets+on+Web+gambling/2100-1026_3-6008083.html?part=rss&tag=6008083&subj=news

Not all stocks decline in Bear Markets, and if there's one that will see continuing growth despite of a global economic slowdown, that is GIGM.

Online gaming and gambling is just starting and gambling is a flourishing industry when bad economic times arrive.

Therefore I'll continue holding GIGM on good and bad times (for as long as the company doesn't do something stupid to harm us, loyal shareholders, selling shares in the open market to finance operations, for example).

I'm interested to see how GIGM's chart pans out over the next couple weeks. Support looks to be building at the prior peak of 2.79.

Though a bearish divergence is forming in the current uptrend, In my studying of MACD-histogram divergences i find it to be a fairly reliable signal. Notice the bullish divergence that occurred just before this uptrend began.

-As well when a divergence goes in the opposite direction of its intended signal, It means that the bulls or bear are especially strong. Such as if this uptrend continues on this bearish divergence.

Good luck to everyone holding.

QuoteAs well when a divergence goes in the opposite direction of its intended signal, It means that the bulls or bear are especially strong. Such as if this uptrend continues on this bearish divergence.

Never thought of that fousc, thanks 

Yes, GIGM did well on the last trading day of the year, reacting positively to the $2.79 support level. If there is a niche market that does go up on not so good economic times it is gambling.

I'm very pleased to own GIGM and I'll continue holding it for the long term (my only fear is that the company starts selling shares in the open market, as so many Chinese companies do, but until now GIGM's management seems to be interested in building shareholder value).

Good move today.  I loaded up on this between X-mas and New Years on low volume.  If this can hold gains and add to that gain I will pyramid on it`s way up.  It closed above conversion price of $3.13 that is a good sign.

Closing firstly above $3 and then the $3.13 conversion price is very bullish. GIGM kept hitting $3 all day until late day volume kicked in to push breakout (see inrtaday chart below).

Ascending channel on daily chart likely shows where aggresive trader might want to take profit (around $3.40 area) and then wait for pull back re-entry at blue support line.

Good Luck

The news was:

QuoteGigaMedia's US$45 million acquisition of FunTown included a US$15 million convertible note issued by GigaMedia with a conversion price related to the GigaMedia share price before closing; the conversion price has now been set at US$3.13 per share. FunTown's financial performance will be reflected in GigaMedia's consolidated financial statements beginning the First Quarter 2006.

This means the note is convertible to common shares at a $3.13, that is, the company issued about $15,000,000/$3.13 = 4,792,332 new shares. Previously the number of shares outstanding was 50.34M, so this is just a 9.52% increase in the number of shares outstanding on a fully diluted basis.

The stock closed above the conversion price yesterday, and if GIGM keeps on climbing it's possible that the company redeems this note, buying it back with just 5% interest  (it has 12 months to do that).

I believe GIGM's fundamentals will continue to improve significantly in a good or not so good economic environment, as will the share price.

I'll continue holding GIGM for the long term.

GIGM still a bullish stock

--- Nice to see those prices still above the 13 day EMA, maybe tomorrow will pullback a little again then shoots up