3SOF

Time to pickup some bargins here, most stocks hit there bottom today...........
Buy Mid caps and large caps..............

"Time to pickup some bargins here, most stocks hit there bottom today..........."
The market has been "on fire" the entire year. You actually think it is rock bottom?
I am looking a the charts of the US Markets and we are coming down off multi-year highs.

Just a small correction, no reason to go down yet, untill the fed rasies interest rates.

Quote from: yukiii on May 24, 2007, 12:50:11 PM
Time to pickup some bargins here, most stocks hit there bottom today...........
Buy Mid caps and large caps..............

yukii, i have to agree with wxmang here..too early to open any positions here..i feel a better opportunity will be presented in the coming days.

I don't see any reason for a correction here and all the reasons for the current market run are still intact. I'm buying dips.


Added more gigm at 14.25

Quote from: nicknite20 on May 24, 2007, 01:27:08 PM

Quote from: yukiii on May 24, 2007, 12:50:11 PM
Time to pickup some bargins here, most stocks hit there bottom today...........
Buy Mid caps and large caps..............

yukii, i have to agree with wxmang here..too early to open any positions here..i feel a better opportunity will be presented in the coming days.

All ready bounced twice off the 13 back up we go......................

just fyi:
GigaMedia Ltd. (GIGM, Trade ) has advanced in share price by 4% over the past four weeks and is trading near its 52-week high. The company recently posted first-quarter earnings of 14 cents per share, more than doubling the year-prior result. Consolidated revenues soared 95% on a year-over-year basis. GigaMedia mentioned that it is very excited about its upcoming launch this summer of new games and products in Asia, including its suite of real-money Japanese games.

Quote from: la-onda on May 24, 2007, 05:53:27 PM
just fyi:
GigaMedia Ltd. (GIGM, Trade ) has advanced in share price by 4% over the past four weeks and is trading near its 52-week high. The company recently posted first-quarter earnings of 14 cents per share, more than doubling the year-prior result. Consolidated revenues soared 95% on a year-over-year basis. GigaMedia mentioned that it is very excited about its upcoming launch this summer of new games and products in Asia, including its suite of real-money Japanese games.

Yes la-onda, people have been seeing the glass half empty and focusing on the negative aspects of any earnings report. I guess on GIGM they're focusing on the following:

«The quarter-over-quarter decrease in our consolidated operating margin was due to decreases in the operating margins of our Asian online games business and our broadband ISP business and an increase in non- cash share-based compensation expense, which more than offset an increase in the operating margin of our gaming software business in the first quarter.»

«Consolidated net income for the quarter increased 167 percent to $8.5 million from $3.2 million in 2006, and declined by 14 percent from the previous quarter. The quarter-over-quarter variation was largely due to the impact of a one-time after-tax gain on the sale of marketable securities of approximately $1.9 million recorded during the fourth quarter.»

«Non-GAAP consolidated net income in the first quarter was $8.7 million, representing an increase of 172 percent over the same period last year and a 13 percent decrease from the fourth quarter of 2006. Non-GAAP basic earnings per share were $0.17, a 164 percent increase from 2006 and a decrease of 14 percent quarter-over-quarter. Non-GAAP fully-diluted earnings per share were $0.15, a 186 percent increase from the same period last year and a decrease of 13 percent from the fourth quarter.»

«First-quarter revenues in the consumer broadband ISP business were $2.6 million, a 27 percent decrease compared to the same period last year and a 20 percent decrease quarter-over-quarter. The variations were primarily due to the sale of the ADSL business in May 2006 and the decrease in fees derived from bandwidth, consulting and support services in the first quarter of 2007 related to such sale.»

«Business Outlook

Gaming software business. In the second quarter of 2007, we expect continued revenue growth and momentum in our gaming software business, partially offset by a traditional downturn in online gaming during the summer season and increased competition in our markets. We expect second-quarter revenue growth on a percentage basis to be lower than the percentage growth achieved in the first quarter.

Asian online games business. We expect ongoing investments in our Asian online games business to drive revenue growth in the second quarter, partially offset by a traditional downturn in online game play during the school exam season. Consolidation of the China casual games portal T2CN is expected to result in growing contributions from the Asian online games business going forward.

Broadband ISP business. We expect revenues in our legacy broadband ISP business to continue to decline moderately in the second quarter in line with plans.»

There are plenty of reasons to sell GIGM if one wants to look at it that way.

The way I see it GIGM is trading at 16 times 2008 estimated EPS (and those estimates seem way too conservative, considering the recent historical growth rate), which is too low for a company growing revenues by 95% YoY.

I'll continue holding GIGM.

additional info; I am holding GIGM with strong hands   

GIGM: Short Interest UP 4.5% to 4.0M in May 2007
Friday , May 25, 2007 01:04ET

According to new short interest data from NASDAQ, short interest for GigaMedia Limited (NasdaqNM: GIGM) INCREASED 4.5% to 3,953,770 shares for the month ended mid-May, 2007.

SYMBOL             APRIL             MAY          CHANGE       %CHANGE  DAYS/COVER
--------   -------------   -------------   -------------  ------------  ----------
GIGM           3,784,099       3,953,770        +169,671        +4.48%           4

Based on GIGM's 20-day average daily share volume of 1,110,740, it would require approximately 4 day(s) of buying to cover this short interest.


please download & read the Q1 CC transcript carefully 

David, I again used your charts to pick up GIGM at 13.95, only this one I intend to hold. I think when and if people see the the Greenspan prediction of selloff in China fail to hold true, at least in the ST, they will buy this back and probably also NTES.

GIGM    $ 14.24
GigaMedia Ltd.   -0.02
Shares Short   3,953,800
Days to Cover (Short Ratio)   4.7
Short % of Float   11.25 %
Shares Short - Prior   3,784,100
Short % Increase / Decrease   4.48 %

Quoteplease download & read the Q1 CC transcript carefully

I read it la-onda, it sure strengthens one's hands on GIGM. These CC transcripts are very nice, where do you get them, is there a website that makes them or do you have a service to do it? Thanks

Quote from: BigSully1 on May 25, 2007, 02:48:02 PM
David, I again used your charts to pick up GIGM at 13.95, only this one I intend to hold. I think when and if people see the the Greenspan prediction of selloff in China fail to hold true, at least in the ST, they will buy this back and probably also NTES.

Yes, on Friday the Shangai B index rose 8% on the day after Greenspan's words. My take is Greenspan talks about China the way he did about US stocks in 1995, in his famous "irrational exuberance" comment. China may very well have 5 more years of strong growth and very high stock market gains.

Technically GIGM has been trading within the ascending channel on the chart below, making higher lows and higher highs, the main characteristic of a bull trend.

I'll continue holding GIGM for the long term.

GIGM goes down, but it doesn't stay down for long, since fundamentals are very attractive. As the CEO says:

«"We are seeing but the early returns from our investments and strategic steps to build a dominant online entertainment business," explained CEO Arthur Wang. "As such, we are looking to deliver tremendous shareholder value in 2007 and beyond."»

I'll continue holding GIGM.

yukiii started a discussion about GIGM on SNDA's thread, I wish it was here. I believe he said Q2 comparison is tough. But that's because GIGM had a $7 M special gain in Q2 2006. Without this special gain net income would have been $4 M, or about $0.08 EPS. GIGM may very well have double of this number in Q2 2007, since, as nicknite20 says, lower growth still means growth:

QuoteWe expect second-quarter revenue growth on a percentage basis to be lower than the percentage growth achieved in the first quarter.

Hmm, now I'm in doubt, this slower growth forecast is for the year on year comparison or the sequential one?

I'm going to write this question to GIGM's investor relations.

Anyway, I see the company on track to easily meet or exceed my long term forecast of 50% revenue CAGR, so I'll keep holding GIGM.

QuoteTranslate: Yes that means we would very much expect .01 over the 1st quarter or 6.7% growth.

You don't know about 6.7% growth. It can be 20 or 30% sequential growth, it would still be lower than Q1 sequential growth of that business unit.

Quoteand compare that to .18 last year

But yukiii, check that $7.77 M one time gain affecting Q2 2006 earnings, you can't compare apples to oranges. Without that $7.77 M one time gain, Q2 2006 EPS would have been 8-9 cents. Comparison will be favorable.

QuoteThe headline will read earning lower 16% from last year , then you can buy GIGM at lower prices.

I don't think the company will publish a misleading press release. It will compare Non GAAP numbers. Or else it will explain the differences. Come on, you see that comparable net income and EPS will at least double in Q2 2007 when compared to Q2 2006.