Archive for January 5th, 2008

RAmos V80 hits China market

The RAmos V80 portable media player has finally arrived in the China market, and as you can see it runs on Microsoft’s Windows CE platform thanks to its touchscreen display. One can only wonder whether Microsoft is licensing its products to MP3 and MP4 manufacturers in China so that the market can be flooded with these unbelievably affordable portable media players. I don’t think such a tactic, if it is true, will make a dent in iPod sales since you can just overwhelm ease-of-use by releasing tons and tons of similar, cheap devices. You can check out the 3-part video review here, here and here. There’s a whole lot of touching involved, so be forewarned! The 2GB model will retail for $126.50 while having a version bundled with a 2GB microSD memory card will cost you $139.50.

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So far this year, online video is making a big mark. Just look at the Iowa caucuses, where voters posted their efforts on YouTube and then spread them across social networks like MySpace and Facebook. So what else might we see in 2008 for online video?

Well, I had a chance to interview Chase Norlin, who is the CEO of Pixsy (an online video company). According to him:

1. Expect to see continued enforcement by copyright holders over their online video assets; this will drive wider adoption of DRM and licensing platforms.

2. The online video ad category is growing but not at the pace to support the multitude of companies pursuing this market, and a shakeout is therefore likely.

3. More consolidation in the online video space and all other key internet categories.

4. Continued growth in the semipro video publishing market as content producers create and distribute their material in a more cost-effective manner than traditional outlets.

5. More unique video programming, created for the web, making its way to television.

Tom Taulli is the author of various books, including The Complete M&A Handbook and The Edgar Online Guide to Decoding Financial Statements. He also operates DealProfiles.com.

 

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A few days behind schedule, but here is my list of eight stocks. Included in the list there are two holdovers from the 2007 list of seven stocks. I do not see any value in creating an entirely new list when I have done well over the years riding the winners. This is particularly true if the reasons you bought the stock in the first place remain valid.

These eight picks for the year will be tracked monthly with updated results. The initial share prices are from December 28, 2007. They are focused on defense, energy, food, gold, metals, mining, oil, power, and every one pays a dividends. The following are my “Quick Takes” in alphabetical order with links to the complete stories.

Anglo American plc (ADR) (NASDAQ: AAUK) is a world-class player in precious metals, diamonds, and commodities, which are all growing in demand. When the world economy is booming, all of its mining products are sought after, and when the market runs scared, gold goes up. It pays a dividend yield of 1.9% and is trading almost 25% off its 52-week high. For full story: Chasing Value: Anglo American diamonds and gold are your best friend. The closing price on December 28, 2007, for AAUK was $30.79.

Bunge Limited (NYSE: BG) is the world leader in the production of soybean products and still growing at a rapid rate. While sporting a P/E ratio of 19, which is low for a growth stock, it also has a tiny P/S ratio of 0.33. Although it jumped 70% last year, that may be just the beginning. It’s my food story selection from Serious Money: ADM, Bunge, Potash Corp. — it’s a hungry world. All three should be on your watch list. I had to split hairs to choose only one. I backed away from ADM because there is a slight chance that the ethanol business could slip if oil prices do. Potash had the highest percentage increase and also has a scary P/E and P/S. For full story Chasing Value: Bunge Limited (BG) in name only. The closing price on December 28, 2007, for BG was $119.03.

Huaneng Power International, Inc. (ADR) (NYSE: HNP) is one of my favorite stocks on planet earth, and I must have said so at least once a month. I even wrote a story titled Volatile Markets: Huaneng Power (HNP) is my pick for the next 50 years. It is one of the holdovers from last year. It is not the bargain it was when I bought in at $26.50, but at the current price just under $40 per share it’s 30% off it’s high and it still pays a 3.5% yield. For full story: Chasing Value: Huaneng Power still the one in China. The closing price on December 28, 2007, for HNP was $41.75.

Loews Corp. (NYSE: LTR) is a “puny” version of Berkshire Hathaway (NYSE: BRK.B) but is no less well managed and has produced significant shareholder equity over the past three decades. It owns interests in oil drilling, insurance, gas pipelines, and hotels. It has announced that it plans to spin-off Lorillard, the makers of Newport brand cigarettes. When everyone on Wall Street is scrambling for cover this year, I expect the Tisch family to be cherry picking and bargain hunting. For full story: Chasing Value: Loews Corp. has all the right pieces. Closed on December 28, 2007, at $49.35.

Newcastle Investment Corp. (NYSE: NCT) is a REIT paying about a 22% yield. It does not real estate, instead it holds loans on nonresidential properties. NCT is on record to fully fund its dividend and anticpates one billion dollars in loans to be paid off in the coming year. For full story: Chasing Value: Newcastle’s 22% yield will reward patience. The closing price on December 28, 2007, for NCT was $13.08.

Raytheon Co. (NYSE: RTN) The defense sector has beaten the Standard & Poors 500 Index four eight years running through 2007 and I do not see anything stoping this trend in 2008. The basic metrics are sound, with a PEG ratio of 1.13, a P/B of 2.4, and a P/S of 1.3. For full story: Chasing Value: Raytheon in defense of the nation and your portfolio. The closing price on December 28, 2007, for RTN was $61.51.

Reliance Steel & Aluminum (NYSE: RS) is solid, and resiliant, providing 100,000 products made of carbon, alloy, stainless, and specialty steel, as well as aluminum, brass, copper, and titanium. By being a producer of value-added products and serving more than 125,000 customers it has a very broad global base. Reliance has a low P/E ratio of 8 (TTM) a very low P/S of 0.50 and a great ROE of 25%. For full story: Chasing Value: Reliance Steel & Aluminum adding value globally. On December 28, 2007, RS closed at $54.32 per share.

Valero Energy Corp. (NYSE: VLO) is the largest independent oil refiner in North America and looking to increase profit margins in 2008, while any competitors will take eight to ten years to bring a new refinery on line. It was my top pick among 2007’s seven, and I am bringing it back for an encore. For full story: Chasing Value: Valero Energy (VLO) is just so refined. The closing price on December 28, 2007, for VLO was $70.55.

This year’s “stalking horse” will be Berkshire Hathaway (NYSE: BRK.B). Note that I will be tracking the ‘B’ shares, not the more expensive ‘A’ shares. It was one of the stocks I considered for inclusion in the 8, but it did not make the cut. I did suggest that it be on your watch list: Chasing Value: Scratch Berkshire Hathaway from the 2008 list. It will be interesting to follow it and see how it fares against what is on the list. Last year the stalking horse was Google Inc. (NASDAQ: GOOG), and as a portfolio of one beat my picks and most everything else, see: Chasing Value: 7 for 2007 review: Props to Cramer for his 2007 picks.

There are sure to be some surprises during the year, hopefully to the upside. Newcastle is likely to produce the biggest swings given the uncertainy in the financial and real estate markets, but I think it has the greatest potential to rise as well. I will also be tracking the the indices as I did last year. The following closing numbers will be the starting point.

To find potential opportunities and verify my track record, read Chasing Value and Serious Money.

DISCLOSURE: I currently own shares of AAUK, BRK.B, HNP, NCT,and VLO

Sheldon Liber is the CEO of a small private investment company and the principal for design and research at an architecture & planning firm.

 

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Is it us, or has Apple truly cultivated a cozy, nice-guy image in the consumer’s world of technology? That funny commercial with the uptight PC nerd versus the laid-back Apple innovator type aside, it seems as if Apple’s trying to live up to the image. Get this: A model actually wrote her memoir in New York’s SoHo Apple Store over a period of three months.
Isobella Jade, a diminutive catwalker, wrote Almost 5′4″ in late-2005, early-2006 using the Apple Store’s computers, saving the new material she wrote each day by e-mailing herself. The book details her adventures as a vertically-challenged model trying to break into the business in the big city. Upon completion, Jade presented a reading of her memoirs at the same Apple Store. The rights to the work have been sold to the U.K.’s The Friday Project, which plans a commercial release in 2009.

Although we can just look at this story as one of those kooky, warm fuzzies delivered to you by Apple, we think Jade’s actions may signal something far more significant. This episode might be a harbinger of a trend to come: an e-publishing phenomenon in which people use public computers in the public sphere to produce something accessible to the general public, from the novel they’ve always wanted to write to their gentle treatise on the Nice Guy.

From Digg Via Mental_Floss

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i2i

If one of your New Year’s resolutions is to cut down on the number of wires cluttering your home, then the i2i Stream Digital Music Broadcaster may be for you. The purpose of this product, available in March, is to turn any of your traditional music players at home (such as CD players, DVD players, iPods, and even computers) into wireless music sources. Multiple listeners can enjoy the music on their own sets of earphones or you can have the music stream through regular speakers so everyone can listen together.

Hiding or eliminating wires in the home has been the goal of many companies, whether by streaming content through existing powerlines or broadcasting the music using Wi-Fi. Now i2i maker Aerielle Inc. has thrown its hat into the mix — with CEO Art Cohen touting the “one-to-many” quality of his product.

“We’ve created a way for friends to listen to music content without the hassle of sharing ear buds or swapping MP3 devices,” Cohen said in today’s pre-CES press release announcing the device (hey, we tried to call him, but we never heard back). The device can stream to “hundreds of other i2i Stream users from a single channel.”

The i2i comes in a two pack. One of the units works as a broadcast device while the other receives. The system works by plugging one i2i device into the audio source to create the “audio stream,” which broadcasts up to 30 feet. You then plug your listening device — a pair of earbuds, for example — into the second i2i device. The internal battery charge lasts up to seven hours.

Besides using i2i at home you can also take it with you on the road. So, for example, two people can listen to music from one MP3 player. One of the listeners carries the player and one of the i2i devices. The other listener carries just the other i2i device and plugs his or her earphones in to the appropriate jack.

The initial price for the two-pack is $129.95 and additional transceivers will cost $69.95 — perhaps a tad pricey considering the limited range. An extra charger will go for $14.95.

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Digital music may be getting more “meta” this year, an advance that could make downloaded songs and albums more appealing to consumers who have turned to less-than-legal manners of getting their music.

A common complaint concerning MP3s is their lack of interesting extras - the types of things you typically find inside the cases of compact discs, such as lyrics, liner notes, images and even keepsakes. That may change this year, as competition among the digital music purveyors heats up and third-party creators tap into the interest of music fans for more information.

Disney has already created something called a “Digital Magazine,” although this is intended for use with CDs. Still, this isn’t too far from adaptation to an all digital experience. Apple’s iTunes and iPod are capable of handling more types of information than just music, as is Microsoft’s Zune. In the case of iTunes, some albums come with exclusive tracks, “making of” videos, and videos of the album’s singles — none of which are available on their store-bought CD brethren.

Gracenote has been compiling tons of data about artists, albums and songs for years. (Whenever you drop a new CD into your computer to transfer songs to your hard drive, it’s likely Gracenote that provides the information that automatically fills in the album name, track numbers, song and artist information, plus album artwork, as well.) It seems that’s just scratching the surface.

From Reuters/Billboard.

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