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Re: New $100 Million Stock Repurchase Authorization!

By: drwein72 in IDCC | Recommend this post (0)
Fri, 04 May 12 9:41 PM | 403 view(s)
Boardmark this board | InterDigital Communications
Msg. 45087 of 48237
(This msg. is a reply to 45082 by Rakitno)

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Actually, the press release referred to the sale of four patent, "families." I'm not sure what that means but I am pretty sure we won't get any clarification on that or if the $71M is simply based on quarterly royalty reports or includes the patent sales.




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The above is a reply to the following message:
Re: New $100 Million Stock Repurchase Authorization!
By: Rakitno
in IDCC
Fri, 04 May 12 9:06 PM
Msg. 45082 of 48237

Well, let's do the math.

Let's say that prick ... errr ... analyst, Jonathan Skeels was correct about his revenue estimate for Q2. He estimated revenue in his last report to be $66.3M. Management said it would be $71. Since management is recording the four patents sold as "revenue" let's assume that the difference between what management knows, $71M and what Skeels doesn't know $66.3M is a difference of $4.7M revenue+.

Therefore the upper band, using Skeels model, is that four patents were sold for $4.7M. That is possibly, $1.2M per patent.

Either patent revenue was higher and/or the selling price of the four patents was very high ... whichever way you cut it, this was excellent news!

Maybe Skeels can run his numbers again. And reissue his leaflet.

And don't forget this part ...

This latter transaction [the four patents sold] is unrelated to the company's broader efforts to create value by monetizing certain larger patent portfolios for which the company continues to see good interest.

More patents to sell ... "good interest" ... now why would Management need to even say anything ... Smile


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