Salvatore "Sam" Mattera

Editor's Choice

• 3 Retail Takeaways from J.C. Penney’s Facebook Page

  By Salvatore "Sam" Mattera - May 10, 2013 | Tickers: AMZN, JCP, KSS |

  Embattled retailer J.C. Penney (NYSE: JCP) has received a fair amount of media coverage for its recent TV ad. In the spot, the company apologizes for the radical changes over the last year, and asks its (now former) customers to come back to the store.

  The ad closes with a shot of the company’s logo along with the statement that the company is “listening” on Facebook.

  Heading over more »

• Netflix’s Battle with HBO Could Change TV Forever

  By Salvatore "Sam" Mattera - May 4, 2013 | Tickers: DISH, NFLX, TWX |

  Netflix (NASDAQ: NFLX) CEO Reed Hastings thinks we’re on the brink of an entertainment revolution, one that will fundamentally change TV as we know it. In Hastings’ future, content companies will hold the cards, while the content distributors (mostly cable providers) will struggle.

  To be fair, this vision isn't very original: many have made similar arguments for years -- predicting that cord-cutters would eventually spell the death of cable more »

• Is Netflix About to Drive Away Millions of Subscribers?

  By Salvatore "Sam" Mattera - May 3, 2013 | Tickers: AMZN, NFLX, TWX |

  It’s barely been two years since the Qwikster debacle, but Netflix (NASDAQ: NFLX) might be in the process of making another terrible decision. As of May 1, Netflix subscribers could find that some of their favorite titles are no longer available for streaming.

  By allowing various content deals to expire, Netflix has lost the rights to stream nearly 1,800 different titles -- and more could be on the way more »

• Fund Thinks Tesla Shares Will Rally 300% in Next 5 Years

  By Salvatore "Sam" Mattera - May 2, 2013 | Tickers: FSLR, NFLX, TSLA |

  Currently trading near $55, shares of Tesla (NASDAQ: TSLA) would have to increase by a factor of almost four to hit $200 -- quite a significant move for a stock that’s already trading near its all-time high. Yet, that’s exactly what the portfolio managers at Longboard Asset Management are predicting.

  Readers can view Longboard’s presentation for themselves here. While I wouldn't recommend shorting Tesla stock (given its more »

• What’s George Soros Doing in J.C. Penney?

  By Salvatore "Sam" Mattera - May 1, 2013 | Tickers: BBY, BBRY, JCP |

  Embattled retailer JC Penney (NYSE: JCP) saw its shares surge on Friday after George Soros reported a 7.9% stake in the company. With shares down over 50% in the past year, what does the man who broke the Bank of England see in this struggling department store?

  Soros is a contrarian trader

  The thing to know about Soros is that he is a trader, first and foremost. Some managers more »

• Should You Follow ValueAct Into Microsoft?

  By Salvatore "Sam" Mattera - April 24, 2013 | Tickers: AAPL, GOOG, MSFT |

  Hedge fund ValueAct said it had taken a $1.9 billion stake in Microsoft (NASDAQ: MSFT) on Monday. In a presentation at an investment conference, the fund’s CEO argued that Microsoft is well-positioned to take advantage of the shift to cloud computing.

  Microsoft’s PC problems

  Over the last decade, Microsoft’s shares have done little. Although the company has paid out a steady stream of dividends, stagnant growth more »

• Why Apple Still Isn’t Cheap

  By Salvatore "Sam" Mattera - April 19, 2013 | Tickers: AAPL, GOOG, MSFT |

  Now trading near $400 per share, Apple (NASDAQ: AAPL) appears “cheap” by a number of financial metrics. But investors shouldn't be fooled by the numbers: Apple continues to face serious, fundamental issues with its business and shares could continue to head lower in the coming sessions.

  Apple looks cheap

  A popular refrain among Apple bulls has been to remark that the stock is cheap. They point to a price-to-earnings more »

• Yet Another New Mobile OS Is Coming This Year

  By Salvatore "Sam" Mattera - April 19, 2013 | Tickers: AAPL, BBRY, GOOG, MSFT |

  Mozilla, the company behind the Firefox browser, has been working on a mobile operating system. Firefox OS will be available on smartphones starting in June. Devices running the OS won’t appear in the US until 2014, but regardless, it’s worth asking: how many different mobile operating systems can the market support?

  Too many mobile operating systems

  Besides the obvious giants (Apple’s (NASDAQ: AAPL) iOS and Google’s more »

• This $100 Samsung Accessory Represents the Future of Computing

  By Salvatore "Sam" Mattera - April 10, 2013 | Tickers: BBRY, GOOG, MSFT |

  Sales of mobile computing devices -- tablets and smartphones -- continue to show explosive growth. Meanwhile, PC sales have been steadily declining. Research group Gartner said last week that the growth of mobile operating systems, particularly Google’s (NASDAQ: GOOG) Android, will soon render Microsoft’s (NASDAQ: MSFT) Windows irrelevant.

  However, many continue to doubt that such a shift is destined to take place. Traditional desktops are still a major part of more »

• Tesla’s Elon Musk Is Starting to Sound Like Netflix’s Reed Hastings

  By Salvatore "Sam" Mattera - April 3, 2013 | Tickers: NFLX, CRM, TSLA |

  Tesla’s (NASDAQ: TSLA) flamboyant founder Elon Musk has been instrumental in the electric car company’s rise. Under his stewardship, shares have rallied over 130% since the company went public.

  Yet, Musk’s recent antics seem reminiscent of Netflix (NASDAQ: NFLX) CEO Reed Hastings prior to his company’s stock plummeting in the summer of 2011. Back then, it didn't end well for Netflix shareholders. Perhaps Tesla will more »

• Another Sign J.C. Penney’s Turnaround is Floundering

  By Salvatore "Sam" Mattera - March 29, 2013 | Tickers: JCP, KSS, WMT |

  I own shares of J.C. Penney (NYSE: JCP), but after Wednesday’s news, I’m seriously considering selling my stake. According to Reuters, the retailer will increase prices on its clothes, only to later mark them down -- a strategy the company used to employ before CEO Ron Johnson took the helm in 2011. Evidently, management believes this strategy will help lure discouraged shoppers back to its stores.

  Ron Johnson more »

• Understanding Google’s Strategy

  By Salvatore "Sam" Mattera - March 27, 2013 | Tickers: AAPL, GOOG, MSFT |

  When it comes to tech giants, Google (NASDAQ: GOOG) is as complex as it is confusing. Although still reliant on its search engine for the majority of the its profits, the company is involved all sorts of different businesses.

  Many commentators and investors alike have been dumbfounded by the company’s corporate strategy. Why does it, for example, give away its Android operating system and forfeit billions in profits? Why more »

• 2 Yahoo Takeover Targets

  By Salvatore "Sam" Mattera - March 12, 2013 | Tickers: YHOO, YELP |

  Kara Swisher at AllThingsD reported Thursday that Yahoo (NASDAQ: YHOO) was planning to make two "significant" acquisitions (and a half-dozen small buys). It's unknown what companies Yahoo might covet, but if recent statements from CEO Marissa Mayer are any indication, both buys will be in the mobile space. Among publicly traded companies, both Yelp (NYSE: YELP) and Pandora could make strategic sense.

  How much money does Yahoo have to more »

• 3 Stocks That Would Rally if Their CEOs Were Fired

  By Salvatore "Sam" Mattera - March 1, 2013 | Tickers: CSCO, JCP, MSFT |

  Shares of a company frequently rally after the CEO is fired. For example, shares of Groupon surged Thursday after Andrew Mason was let go, and shares of Chesapeake Energy traded higher after Aubrey McClendon’s resignation was announced in January.
  
  In the same vein, it is likely that shares of Microsoft (NASDAQ: MSFT), J.C. Penney (NYSE: JCP) and Cisco (NASDAQ: CSCO) would rally if their CEOs were sent packing more »

• Samsung/Google Split Would Have Immense Consequences

  By Salvatore "Sam" Mattera - February 28, 2013 | Tickers: GOOG, MSFT |

  Within the last year, a belief has emerged within the minds of many market participants: That Samsung would be well-served to sever its ties to Google’s (NASDAQ: GOOG) Android operating system. (That idea gained new life Monday when The Wall Street Journal reported that Google executives were concerned with Samsung’s power.)
  
  If the two tech giants split, it would have far-reaching market consequences. But it wouldn’t serve more »

• Big Moves by Seth Klarman’s Baupost Group

  By Salvatore "Sam" Mattera - February 14, 2013 | Tickers: AIG, HPQ, MSFT |

  The Baupost Group, a hedge fund founded by Seth Klarman, released its 13F on Wednesday. According to the filing, Klarman built a sizable stake in AIG (NYSE: AIG) while completely dumping his stake in Hewlett-Packard (NYSE: HPQ) and shifting his Microsoft (NASDAQ: MSFT) exposure around. What does this mean for investors in these companies?

  Blindly accepting 13Fs at face value is dangerous

  When it comes to 13Fs, there are a more »

• Red Bull Launching Flavored Variants, Should Monster Shareholders Cut and Run?

  By Salvatore "Sam" Mattera - February 11, 2013 | Tickers: KO, PEP |

  Next month, Red Bull -- the leading energy drink maker -- will launch its new flavored editions nationwide. Will these variations sell well enough to crush Monster Beverage (NASDAQ: MNST) once and for all?
  
  Monster has been Red Bull’s most threatening competition
  Red Bull largely invented the energy drink market, entering the U.S. in 1997. Since then, the market has exploded in popularity, and a host of competitors, including Monster more »

• Not So Fast, Microsoft Is No Guaranteed Short

  By Salvatore "Sam" Mattera - December 13, 2012 | Tickers: AAPL, DELL, HPQ, MSFT, SNE |

  Last week on CNBC, Stocktwits founder Howard Lindzon told viewers he would sell short -- bet against -- shares of Microsoft (NASDAQ: MSFT) with his “grandmother’s money.” (The obvious implication here is that shorting Microsoft is such a safe bet that it would be appropriate to undertake with the retirement funds of an 80-year old.)
  
  Not so fast, Howard -- Microsoft is no guaranteed short.

  Historical Performance

  Barring a major shift in more »