Dana Blankenhorn

Editor's Choice

  • What Is Missed on Intuitive Surgical's Big Miss

    By Dana Blankenhorn - July 11, 2013 | Tickers: ARAY, ISRG, MAKO | Editor's Choice

    Investors got little warning on Intuitive Surgical's (NASDAQ: ISRG) big second quarter miss. The first most heard about it might have been the company's own press release – the company doesn't officially report until next week.

    In practical terms the miss isn't much – revenue of $575 million against an expected $630 million, and net income of $160 million instead of $177.7 million. But the stock, which more »

  • Two Open Source Strategies

    By Dana Blankenhorn - June 28, 2013 | Tickers: CTXS, NFLX | Editor's Choice

    There are two strategic reasons why a company would want to sponsor its software as open source. One is good for investors, the other is not good.

    The good reason is to create a standard. A de-facto standard, which anyone can use royalty-free, based on open source software can be a powerful catalyst for a company's growth. The best example in the recent past is Rackspace, which has now more »

  • Who Is Ready for the Next Phase of the Cloud?

    By Dana Blankenhorn - June 25, 2013 | Tickers: GOOG, MSFT, NFLX | Editor's Choice

    When a company like Microsoft (NASDAQ: MSFT) throws $677 million into a single Iowa data center investors are supposed to cheer and think that Microsoft “gets” the cloud.

    Investments like this are, in fact, evidence that companies do not get the cloud, and that they misunderstand the future direction of this technology.

    A single large data center can handle virtualization, and it can scale jobs like Xbox downloads to handle more »

  • What Can Stop Yahoo!?

    By Dana Blankenhorn - May 26, 2013 | Tickers: FB, GOOG, YHOO | Editor's Choice

    Every bull has to be wary.

    I'm a Yahoo! (NASDAQ: YHOO) bull. I've had a good run since Marissa Mayer took over. But I haven't yet seen organic growth.

    What helps me remain bullish is that she seems to have a vision for the company, one that she seems to be executing.

    So let's talk about that vision, what might cause me to change my view more »

  • Best Places to Play Eagle Ford

    By Dana Blankenhorn - May 17, 2013 | Tickers: COG, CHK, EOG | Editor's Choice

    On a recent trip to South Texas the recent impact of the Eagle Ford shale oil play was obvious on every road.

    Brand-new pick-ups and SUVs, many with dealer tags, filled the roads, darting in and out of traffic, their drivers seemingly heedless of the risk of a wreck. It's something you tend to see in an economic boom, this crazy driving of new Detroit iron, and it's more »

  • How to Play Oil Infrastructure With Richard Kinder

    By Dana Blankenhorn - May 3, 2013 | Tickers: KMI, KMP, KMR | Editor's Choice

    If you're looking for dividend income, and if you're looking to play the explosion in U.S. oil and gas, the transformation of our country from an importer to an exporter of energy, you want to play with Richard Kinder.

    Kinder, who is worth $9.4 billion, has updated a strategy first used by old John D. Rockefeller. By controlling the infrastructure that leads to market, you can more »

  • Is IQE The Next ARM?

    By Dana Blankenhorn - March 25, 2013 | Tickers: ARMH, INTC, QCOM | Editor's Choice

    A friend turned my head toward a little British company called IQE (LSE: IQE), which he thinks could be the next ARM Holdings (NASDAQ: ARMH).

    If he's right, it's a powerful opportunity. But like ARM, IQE will have to fight through a big competitor to get where it wants to go.

    ARM Beat Intel

    ARM Holdings, which emerged from a failing computer company called Acorn a quarter-century ago more »

  • On Health IT, Fools Go With the Hot Hand

    By Dana Blankenhorn - February 28, 2013 | Tickers: MDRX, CERN, MCK, MDSO, QSII | Editor's Choice

    Last time we checked in on the health IT sector, it was on fire.

    Some $19.2 billion in federal stimulus dollars were headed the sector's way, to be doled out based on completion of “meaningful use” requirements then being written by a committee of government and industry bureaucrats.

    But writing and meeting requirements is one thing. Delivering value is something else. This has suddenly dawned on the industry more »

  • The Coming Cloud Stock Shakeout

    By Dana Blankenhorn - February 28, 2013 | Tickers: AMZN, GOOG, MSFT, RAX | Editor's Choice

    The recent fall in the price of Rackspace (NYSE: RAX) – from the mid-$70s to the mid-$50s – was just a preview.

    The public cloud shakeout is coming.

    In the face of falling earnings Rackspace continues cutting prices, locked in a death struggle with Amazon (NASDAQ: AMZN), Google (NASDAQ: GOOG) and Microsoft (NASDAQ: MSFT) for public cloud services.

    All four companies are growing expenses, despite stagnant top lines, because they more »

  • Foolish Investing in a New Open Source Order

    By Dana Blankenhorn - January 31, 2013 | Tickers: EMC, MSFT, VMW | Editor's Choice

    During the better part of six years I spent covering open source full-time for ZDNet, there were clear lines between companies that were open source and those that were closed source. We would cheer the heroes, like Google, and hiss the villains, like Microsoft.

    Since then, the lines have blurred considerably, as Black Duck Software, which helps companies track the licenses under which their code is written, revealed in its more »

  • Why I'm Selling Ford (And You Should Buy It)

    By Dana Blankenhorn - January 31, 2013 | Tickers: F, GM | Editor's Choice

    Note: A previous version of this article inaccurately reported Ford held debt in the amount of $100 billion. Technically speaking, as of 9/31/12 Ford reported over $90 billion in non-current liabilities, only a small fraction ($12.94 billion) appears to be related to automotive debt with the bulk pertaining to its finance division. The article has been adjusted accordingly.

    I bought some shares of Ford (NYSE: F) near more »

  • Why LinkedIn Is Still Safer Than Facebook

    By Dana Blankenhorn - January 24, 2013 | Tickers: FB, LNKD | Editor's Choice

    Of all the companies that have come out of the social networking boom, LinkedIn (NYSE: LNKD) has flown the highest, and for the longest time.

    Since coming public in the spring of 2011, the company has basically run at break-even, albeit with steadily rising revenues. For the quarter ending in September it brought in $253 million, nearly twice the $139 million for the same period a year earlier. Its gross more »

  • Will Intel Find Its Cookie Monster?

    By Dana Blankenhorn - January 23, 2013 | Tickers: INTC, IBM | Editor's Choice

    Just as Wall Street has focused over the last decade on Too Big To Fail (TBTF) banks, Silicon Valley has faced its own crisis, what I call the Too Big To Succeed (TBTS) companies.

    Intel (NASDAQ: INTC) is a classic example of the phenomenon. The company has become so focused on its “product roadmap,” and on the internal signals coming from that roadmap, that it wound up ignoring the changes more »

  • Why Google Need Not Respond to Facebook

    By Dana Blankenhorn - January 18, 2013 | Tickers: FB, GOOG | Editor's Choice

    In the wake of Facebook's (NASDAQ: FB) “Graph Search” announcement this week, which I covered,  I have seen a lot of hand-wringing, and a lot of people spinning this as the worst day ever for Google (NASDAQ: GOOG).

    It's not. For Google, it's not really a big deal.

    Why Graph Search is No Big Deal

    First, as I noted right after the announcement, Facebook was building a more »

  • Health Insurers Trapped by Need for Growth

    By Dana Blankenhorn - January 17, 2013 | Tickers: AET, UNH, WLP | Editor's Choice

    Editor's Note: WellPoint purchased Resolution Health, not Revolution Health. This version has been corrected.

    Health insurers are trapped by a need for growth. Without growth in insureds, in patient count, they can depend on shrinking margins and stock prices. So everyone is buying access to patients, and technology that can help them serve those patients for less, knowing that health reform is not going away.

    Under the Affordable Care more »

  • Get over the Fiscal Cliff

    By Dana Blankenhorn - December 27, 2012 | Tickers: VXX, QQQ, VOO | Editor's Choice

    For nearly two months, CNBC has been pounding the table over the awful “fiscal cliff” facing us in January. Every day, in every ad, they demand that our leaders “rise above” partisanship and come to an agreement.

    <img src="/media/images/user_15175/bartiromo-fiscal-cliff-rant_large.png" width='200"' />

    Anchor Maria Bartiromo (above) has been especially entertaining, practically rending her garments and screaming at the camera, shouting down any Democrat who stands in her way. And Rick Santelli, oh his rages have more »

  • Investing Beyond Peak Oil

    By Dana Blankenhorn - December 17, 2012 | Tickers: KIOR, SU | Editor's Choice

    Don't just ask how much oil or gas there is in the reservoir. Ask how much it will cost to pull that energy out of the ground.