Radio Shack finally went broke. A good call by yours truly.
I don’t like predicting doom and gloom. But Radio Shack was pretty obvious. All you had to do was go into one of their stores.
IBM won’t go broke but their shares are clearly on the skids.
I came out of tech. I watch IBM. I haven’t seen them do anything interesting in years. All they do is fire their good people and hire low-cost people overseas.
Google killed Google Glass. The New York Times had a story on its demise, which included two priceless sentences:
Tech reviewers who finally got their hands on Glass described it as “the worst product of all time,” aptly noting that it had abysmal battery life, and that it was “a product plagued by bugs.”
Privacy concerns were raised, with people afraid of being recorded during private moments, like at the urinal, as I experienced at another Google conference where I was surrounded by Glass wearers. It was also banned from bars, movie theaters, Las Vegas casinos and other places that did not want customers surreptitiously recording.
Introducing radical new tech is really hard. I keep looking at smart watches and rejecting them. Two things turn me off: I have to recharge them every day. I still have to carry a smartphone, like iPhone. My son just bought an iPhone 6 Plus and loves it. Great to type on. Family’s baby pictures and videos look even better. He can use it as a replacement for his iPad.
I like Zoetis, the animal health care company. It’s in the right place at the right time. Last night, I went shopping at Petco for food for Rosie. “Pricey stuff,” I commented to Susan, who retorted, “She’s our precious baby.”
From Yesterday’s New York Times Dealbook:
Zoetis, an animal health care company, has added a top lieutenant of the activist investor William A. Ackman to its board of directors, as part of a deal that avoids a possible fight.
Zoetis said on Wednesday that it had appointed to its board William F. Doyle, a member of the investment team of Mr. Ackman’s hedge fund, Pershing Square Capital Management. In addition, Zoetis said it would later appoint another director agreed on by both Zoetis and Pershing Square.
The agreement forestalls any fight between Mr. Ackman and Zoetis, a veterinary medicine maker that was spun off from Pfizer in 2013 and has a roughly $21.8 billion market capitalization. Shares of Zoetis declined modestly in early trading on Wednesday.
Pershing Square, which owns an 8.3 percent stake in Zoetis, said in November that it would hold talks with the Zoetis management and also consult with another activist fund, Sachem Head Capital Management, which owns a 0.9 percent stake.
Zoetis initially raised its defenses, adopting a shareholder rights plan intended to block any takeover attempt. It also struck a $255 million deal to buy the animal health assets of Abbott Laboratories.
Mr. Ackman is known in the corporate world as one of the most powerful practitioners of activist investing, often taking stakes in companies and lobbying for change. Last year, he stunned Wall Street by teaming up with Valeant Pharmaceuticals International in an effort to acquire the Botox maker Allergan. Though that deal never materialized, Mr. Ackman, whose firm had a big stake in Allergan, walked away with a profit when Allergan was sold to Actavis instead.
Mr. Ackman is set to take a far quieter approach with Zoetis. Mr. Doyle’s appointment, which expands the board to 10 directors, took effect on Tuesday. Mr. Doyle will serve on the board’s corporate governance committee, Zoetis said.
As part of the deal, Zoetis said, Pershing Square and Sachem Head have agreed to standstill provisions. These usually prevent an investor from enlarging its stake.
Mr. Doyle, who joined Pershing Square in 2013, was a classmate of Mr. Ackman’s at Harvard Business School. He has a background in health care, having served as an executive at Johnson & Johnson and then co-founding a firm that invested in health care technology companies.
“We welcome Bill to the Zoetis Board,” Juan Ramón Alaix, the Zoetis chief executive, said in a statement. “I am confident he will provide valuable insight and perspectives as we continue to enhance our position as the world leader in animal health.”
GoPro, BOX, Alibaba, Cyberark. Hot recent IPOs now struggling. Careful. Careful.
When someone starts predicting the market, show them this image:
Harry Newton who went shopping for a Subaru 2015 Limited Outback last night. Forget it. That car is so hot, it’s way backordered. Want one? Wait 12 weeks. Subaru is made by Fuji Heavy Industries, which has had a nice run. Is it still worth buying? I don’t know.
The economy must be getting better. It’s getting harder and harder to get an electrician or a plumber to show up — even if I offer to pay them real money quickly.
Harry only in NYC is it hard to get tradesmen. Where I live(metro area in NC), they will come in 1 hr from a Craigslist ad and thank me for the work.
Actually it’s easier to get tradesmen in New York City than in other places we’ve needed them, including California. But using CraigsList is a good idea. Thank you.
Two things: 1). Subaru Forester > Subaru Outback.
2). I remember, Harry, not long ago when RadioShack was on your Buy list. Correct? For shame.
I’ve recommended selling Radio Shack short. And I did.
I have bought thre Subaru Outbacks over the years — for me and the kids. In fact, Michael just bought our family’s fourth Subaru. The 2015 Outback is light years ahead of the Forrester, which is too small. I’ve never owned a Forrester. I’ve also never been long Radio Shack.
I’ve owned both the Outback and the Forester and the Forester (correct spelling, there is one “r”) is vastly superior for driving in inclement weather. If you want to roll the dice with your family’s safety, keep buying Outbacks. Check the safety ratings and reliability ratings. Forester is ranked higher than Outback in every one. It is lighter/smaller for a reason – safety.