Tag Archives: request

Marvell Catches Activist Starboard Investment; Upgraded To Buy

Beleaguered Marvell Technology Group ( MRVL ) stock pocketed a major upgrade Monday on activist investor Starboard Value’s nearly 7% stake in the Bermuda-based chipmaker. Marvell stock flew almost 7% on Feb. 3, the day Starboard’s investment was announced. Starboard has built its investment since December, B. Riley analyst Craig Ellis wrote in a research report. Ellis upgraded Marvell stock to buy from a sell rating. Yet, in the stock market today , shares were down 1.5%, trading near 8.80. Starboard’s 6.7% stake in Marvell “casts significant doubt on our ‘sell’ rating which was predicated on financial inquiry completion risks and post-review financial execution concerns,” Ellis wrote. In October, Marvell revealed an accounting error may have shifted 7%-8% of sales to Q2, rather than Q3. Marvell’s PricewaterhouseCoopers auditor resigned amid the probe. The resulting internal investigation questioned senior management’s operating style. The SEC and U.S. Attorney’s Office joined the investigation in December. Marvell noted it’s “common for governmental agencies to open investigations in these circumstances.” Starboard’s investment isn’t a panacea, but could come with several Marvell board seats, “a tier-1 auditor and marque CFO,” Ellis wrote. Starboard also was an investor in TriQuint before it became Apple ( AAPL ) supplier  Qorvo ( QRVO ) and Integrated Device Technology ( IDTI ). “We believe (Starboard) knows semiconductors well, with a record of agitating for increased shareholder interest,” he wrote. Starboard consultants include Tessera Technologies ( TSRA ) Chairman Rick Hill, Viavi Solutions ( VIAV ) CEO Oleg Khaykin and former Integrated Devices interim CEO Jeff McCreary. It’s also possible Starboard could help Marvell wrangle R&D capabilities, Ellis wrote. “Past checks show undisciplined and at times ineffectual field sales and engineering,” he wrote. At least two analysts rate Marvell stock a sell, and 21 others rate the stock as a hold. Ellis is among at least five analysts to rate Marvell stock a buy. Ellis boosted his price target on Marvell stock to 12 from 7.  

‘Video Game On Steroids’: Is Drone Racing The Next Nascar?

Loading the player… Will drone racing become the next Formula 1 or Nascar? The World Drone Prix is coming up in Dubai this March, and drone event companies Aerial Grand Prix and the International Drone Racing Association hosted a qualifying race for the international spectacle at The Burbank Studios on Saturday. Recreational drones can be purchased via retailers such as Amazon ( AMZN ), Wal-Mart ( WMT ) and Best Buy ( BBY ). And GoPro’s ( GPRO ) Karma drone is still under wraps. But these high-speed races — with obstacles of different shapes and sizes — are not for the casual drone flyer filming footage at the park. They’re bringing unmanned aerial vehicles to a whole new level. The races feature quadcopters mounted with point-of-view cameras, and one pilot calls the sport “like a video game on steroids.”

LinkedIn Implodes, Twitter Erupts Over Report It’ll Blow Itself Up

LinkedIn ( LNKD ) shares lost nearly half their value on the stock market today after the professional networker announced grim 2016 forecasts. Then a report that  Twitter ( TWTR ) would radically revamp its service triggered outrage from core users. Twitter CEO Jack Dorsey on Saturday denied major changes were imminent. Twitter can help make connections in real-time based on dynamic interests and topics, rather than a static social/friend graph. We get it. — Jack (@jack) February 6, 2016 That was in response to a late Friday  Buzzfeed report  that Twitter would adopt a new algorithmic timeline, as soon as next week. The new system would order tweets based on what Twitter thinks you want to see, rather than the current reverse chronological order. The goal would be to make Twitter more attractive to new and casual users so they can see more targeted tweets, eliminating the unwanted posts. It was unclear if Twitter would make the change optional or mandatory, Buzzfeed said. The latter would greatly upset power users such as journalists, who use the chronological timelime to spot and follow breaking news. Twitter was abuzz with angry posts Friday night and Saturday morning, with #RIPTwitter quickly trending and complaints that Twitter would be become like Facebook ( FB ). Twitter staff meeting: ‘Our stock is crashing. How do we fix Twitter?’ ‘Make the user experience worse every week?’ ‘Crazy enough to work!’ — Josh Jordan (@NumbersMuncher) February 6, 2016 Facebook has used algorithms for years so people see posts from their favorite friends or sources. Facebook’s ongoing efforts have worked for the company, with more than one billion daily users — and still growing. Twitter’s growth, meanwhile has basically stalled, though revenue has swelled due to higher ad revenue and other monetization. Twitter CEO Jack Dorsey, since returning to the company late last year, has signaled a desire to shake up the company. Twitter reportedly is mulling an end to its 140-character limit on tweets. That’s another rumored move that would move Twitter in the direction of Facebook. LinkedIn also is going through a strategy shift. Late Thursday, LinkedIn reported better-than-expected Q4 earnings. But it gave 2016 revenue and earnings targets far below Wall Street views. Part of the reason was LinkedIn’s decision to shut its Lead Accelerator business, which had technology aimed at helping marketers better target prospects. LinkedIn said the project wasn’t worth the time and money, but analysts said they may have to rethink LinkedIn’s prospects. Twitter reports earnings on Wednesday, with analysts expecting a 48% revenue rise to $709.9 million, with earnings per share ex items flat at 12 cents. #SuggestedTwitterAlgorithims Posting “your an idiot” takes you to a grammar basics cheat sheet. — Renna (@RennaW) February 6, 2016 Twitter shares fell 7% on Friday to a record closing low. LinkedIn crashed nearly 44% to a 3-year low. Facebook skidded nearly 6% on Friday and more than 7% for the week, despite hitting a record high on Tuesday.