S&P 500
7,226.20
+0.01%
Dow Jones
49,494.60
-0.62%
Nasdaq 100
27,685.40
+0.66%
Russell 2000
2,804.78
-0.02%
FTSE 100
10,364.50
0.00%
Nikkei 225
59,260.50
-0.78%

Media

Cramer Goes Discovery

Photo of Douglas A. McIntyre
By Douglas A. McIntyre Published
Follow 24/7 Wall St. on Google
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

On today’s STOP TRADING segment on CNBC, Jim Cramer said he loves Discovery Holding Co. (DISCA) and thinks it should go private.  He was very positive on this name before on one of his MAD MONEY episodes.

The problem is that the company is not at a price any "fiscally responsible buyer" would want to look at the company.  It loses money and has negative cash flows at this point because of one-time items.  The good news is that it is expected to make money this year and grow earnings next year.  But it is essentially still on the cusp.  The main reason for losses was because of one quarter last year, but the net earnings from operations probably price this out.  A buyer at this point would mainly be a vanity buyer or a buyer that thinks he/she can run it leaner and meaner.  It’s a good company and it has great assets, but at the end of the day a buyout is too expensive for a rational financial statement reader.

Jon C. Ogg
May 8, 2007

Jon Ogg can be reached at [email protected]; he does not own securities in any of the companies he covers.

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

Continue Reading

5 Strong Reasons People Should Sell Their Homes This Year
Douglas A. McIntyre |

5 Strong Reasons People Should Sell Their Homes This Year

Right now, the case to sell a house before the market deteriorates is a strong one. Realtor.com has five reasons…
Nvidia Still Up 210% in the Past Year
Douglas A. McIntyre |

Nvidia Still Up 210% in the Past Year

Despite a brief sell-off recently, Nvidia stock is not on the ropes and the AI movement is still going strong.…
Chris Lange |

What to Expect From Alibaba Earnings

Alibaba Group is scheduled to release its fiscal fourth-quarter financial results Thursday before the markets open.
247sarah |

Will Northwestern’s ‘Purple Pricing’ Kill the Secondary Ticket Market?

ThinkstockIn 2004, Google (NASDAQ: GOOG) used an unfamiliar mechanism, known as a Dutch auction, to issue shares of its IPO.…
Why Buybacks Are Just Another Form of Investing
Trey Thoelcke |

Why Buybacks Are Just Another Form of Investing

By Herb Greenberg, Empire Financial Research I go out of my way not to talk about politics because there’s simply…
Jon C. Ogg |

Is Amazon Just Grossly Misunderstood In Its Value?

Wikimedia Commons (Steve Jurvetson)Amazon.com Inc. (NASDAQ: AMZN) is one of the strangest mega-cap companies of them all. It has grown…
This Looks Like Buffett’s Next Major Buy
Austin Smith |

This Looks Like Buffett’s Next Major Buy

: Buffett sold large stakes in Bank of America and Apple, boosting his cash reserves. He may focus on investing…
Douglas A. McIntyre |

Cramer Mad Money Recap, April 9, 2007

Cramer opened tonight with a profile of Rosetta Resources, Inc. (ROSE), an oil & natural gas operator based in Houston. …
Douglas A. McIntyre |

Can AT&T and Verizon Keep Raising Dividends Indefinitely? (T, VZ)

AT&T Inc. (NYSE: T) has done what we expected would occur at some point soon.  Despite some bad company public…

Top Gaining Stocks

Cboe Global Markets
CBOE • Vol: 1,568,143
New Pluto Global
PSKY • Vol: 12,285,993
Seagate Technology
STX • Vol: 7,378,346
Oracle
ORCL • Vol: 26,317,675
Datadog
DDOG • Vol: 6,247,779

Top Losing Stocks

LKQ
LKQ • Vol: 4,367,433
Clorox
CLX • Vol: 13,260,523
Stryker
SYK • Vol: 4,519,455
Mohawk Industries
MHK • Vol: 1,859,865
Amgen
AMGN • Vol: 3,818,618