Money Making Online

We think that there is a good opportunity in the NASDAQ market buying a cheap stock with big potential: Avid Technology, Inc. (NASDAQ:AVID)

We will track the stock performance in the next days. But we think this is the moment to buy *

Although reported revenues of $239.0 million for the three-month period ended December 31, 2006 compared to $245.0 million for the same period in 2005, a strong demand around the world (Europe, for example) for the digital audio & video, makes us think this company will have a big appraisement in the value of its stock this year.

This is the summary for this company:

Avid Technology, Inc.
http://www.avid.com/

Avid Technology, Inc. (Avid) develops, markets, sells and supports a range of software and hardware for digital media production, management and distribution. Digital media are video, audio or graphic elements in which the image, sound or picture is recorded and stored in digital values, as opposed to analog or tape-based signals. Avid’s products are used worldwide in production and post-production facilities; film studios; network, affiliate, independent and cable television stations; recording studios; advertising agencies; government and educational institutions; corporate communication departments, and game developers and Internet professionals. The Company’s business is organized and operated in three reportable segments: Professional Film, Video and Broadcast; Audio, and Consumer Video. In August 2006, Avid acquired Sibelius Software Ltd. (More from Finance Google)

Businesswire.com publish:

“As we look back at our performance in Q4, and the full year of 2006, it’s clear that our results were mixed. While our big deal backlog continued to build each quarter throughout the year, including Q4, bringing us to record levels, recognizing revenue out of this backlog continued to be unpredictable. This led to a shortfall in our video business for the fourth quarter,” said David Krall, Avid’s president and chief executive officer. “Our audio business recovered nicely from the slowdown in demand that we saw in Q3 for Digidesign’s Pro Tools|HD® systems, allowing a strong finish for the year. In consumer, we had lower than expected results for the year as the business was slow to recover from the product quality problems with the Studio 10 software. We took an impairment charge in the fourth quarter to reflect the decline in the fair value of the consumer business unit. Nevertheless, we believe that the product quality problems are now behind us, and are pleased that we achieved higher-than expected consumer revenues in Q4 based on strong demand in Europe. We have taken a number of steps to position all of our businesses more favorably for the coming year, including a cost restructuring in our consumer business which took place in Q4. Graham Sharp, our new general manager for our video division, has already implemented a number of changes that are intended to improve the segment’s operations. However, we do not expect the full benefits of these efforts to be realized immediately.”

Businessweek.com publish:

“The company said revenue from its video business fell short of expectations, but that the audio business recovered from a third-quarter slowdown.”

Marketwatch.com publish:

“Fourth-quarter 2006 results include a noncash charge of $53 million for the impairment of goodwill associated with the acquisition of Pinnacle Systems in August 2005. Excluding items, Avid earned 54 cents a share.”

Nancy Gondo published a technical commentary about Spotting The Buy Point, and put Avid Technology as an example for her. We don’t agree totally with her, but it is good that you see several points of view.

Ok, for us this is a great opportunity. We will see. Current price in the moment (February 03) is $ 34,99

* This have informational purposes, not trading purposes or advice

Put this article in your bookmarks:
DiggIt! | Del.icio.us | Reddit | Stumble |