Dax Desai.com » Microsoft http://www.daxdesai.com High Return Investing with Dax Mon, 14 Dec 2009 21:08:33 +0000 http://wordpress.org/?v=2.9 en hourly 1 Trading the Microsoft/Yahoo! Buyout Showdown http://www.daxdesai.com/2008/02/11/trading-the-microsoftyahoo-buyout-showdown/ http://www.daxdesai.com/2008/02/11/trading-the-microsoftyahoo-buyout-showdown/#comments Tue, 12 Feb 2008 04:43:17 +0000 Dax Desai http://www.daxdesai.com/2008/02/11/trading-the-microsoftyahoo-buyout-showdown/ SHARETHIS.addEntry({ title: "Trading the Microsoft/Yahoo! Buyout Showdown", url: "http://www.daxdesai.com/2008/02/11/trading-the-microsoftyahoo-buyout-showdown/" });]]> The Players

Microsoft put forth an offer to buy Yahoo! for $44.6 billion or a 62% premium over the closing price on Jan 31. Yahoo! formally declined the deal today. Google denounced the merger and later appeared to have offered a deal in which Google would take over Yahoo!’s search function in exchange for some revenue sharing and perhaps guaranteed payments like their deal with MySpace.

What’s at Stake?

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A Microsoft/Yahoo! combination would combine their search market share, but would still lag Google’s. The combination would yield a 31.7% market share still behind Google, but not as far behind.

Microsoft has not managed to pickup much steam in its online efforts. As a result they are ready to buy it.

What’s the Trade?

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Yahoo!

This could be risky. If Microsoft doesn’t step up with a higher offer either friendly or hostile then Yahoo! stock will tank back to the $20 level and perhaps lower. On the other hand Microsoft is very determined. A potential higher bid could give some short-term gains.

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Microsoft

This buyout would drain Microsoft’s cash, but they have plenty of cash cows to replenish their stash. Microsoft from a valuation point is already cheap. This deal would be a difficult one to digest. Buy out Yahoo and have all the talent jump ship and you’ve got a marriage of 2 dogs.


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Google

Google received a harsh reaction after news that Microsoft and Yahoo might hook up. Google shares will be under pressure because its earnings came up short of the consensus and now because its two key rivals may get together. In my opinion Google may actually benefit as the MS/Yahoo combo would have a difficult time integrating, would lose much talent, and could lose further market share as they try to regain their footing against Google.

I’m Buying


Google and Yahoo for short-term trades.

First let’s look at Google. I’ve been watching for some time for an entry point and I think this is it. The turbulence with Microsoft/Yahoo will only help Google as it is laser-focused on search. I believe Google is right at an inflection and will snap back to its 3 year trend line at around the $550 mark and higher. Tomorrow I’ll be looking at buying June 21 $600 calls @ $20.25. I’m targeting a 1 month gain of 30-50% on this trade.

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Towards the end of trading today I picked up some Yahoo! April $30 Calls at $2.35. I’m targeting a 1 week trade with a gain of 25%.

MoneyRelations.com has a nice post about buying on rumor and selling on fact in regards to this deal. I recommend you check it out. I have another stock I’m buying on rumor that I’ll post tomorrow. We’ll have a real-world test of the theory.

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]]> http://www.daxdesai.com/2008/02/11/trading-the-microsoftyahoo-buyout-showdown/feed/ 2 Apple Store vs Vista http://www.daxdesai.com/2007/02/24/apple-store-vs-vista/ http://www.daxdesai.com/2007/02/24/apple-store-vs-vista/#comments Sun, 25 Feb 2007 07:19:15 +0000 Dax Desai http://www.daxdesai.com/2007/02/24/apple-store-vs-vista/ SHARETHIS.addEntry({ title: "Apple Store vs Vista", url: "http://www.daxdesai.com/2007/02/24/apple-store-vs-vista/" });]]> applestore.JPGYou may have noticed lately that Apple has started a television ad campaign touting MS Windows vs Apple. Well it seems they’ve taken it to the stores now. The slogan “Move Beyond Vista” is now seen in the Apple Store. I recently went to the Apple Store in Dallas and employees had shirts that read “Move Beyond Vista” on the front and “Buy a Mac” on the back. I got a chuckle from a woman that came in to the store and asked “Do you know when the next iTunes is coming out? I bought a Dell with Vista and iTunes doesn’t work.”

I thought to myself, “Move beyond Vista. Buy a Mac.”

Incidentally if anyone has the same problem Apple has a repair tool to get your iTunes working properly.

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]]> http://www.daxdesai.com/2007/02/24/apple-store-vs-vista/feed/ 1 Video: What if Mac vs Windows ads had Steve Jobs & Bill Gates http://www.daxdesai.com/2007/02/18/video-what-if-mac-vs-windows-ads-had-steve-jobs-bill-gates/ http://www.daxdesai.com/2007/02/18/video-what-if-mac-vs-windows-ads-had-steve-jobs-bill-gates/#comments Sun, 18 Feb 2007 17:55:39 +0000 Dax Desai http://www.daxdesai.com/2007/02/18/video-what-if-mac-vs-windows-ads-had-steve-jobs-bill-gates/ SHARETHIS.addEntry({ title: "Video: What if Mac vs Windows ads had Steve Jobs & Bill Gates", url: "http://www.daxdesai.com/2007/02/18/video-what-if-mac-vs-windows-ads-had-steve-jobs-bill-gates/" });]]>

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]]> http://www.daxdesai.com/2007/02/18/video-what-if-mac-vs-windows-ads-had-steve-jobs-bill-gates/feed/ 0 Seen on the Web: How to sell a Zune http://www.daxdesai.com/2007/02/08/seen-on-the-web-how-to-sell-a-zune/ http://www.daxdesai.com/2007/02/08/seen-on-the-web-how-to-sell-a-zune/#comments Thu, 08 Feb 2007 20:41:00 +0000 admin http://www.daxdesai.com/2007/02/08/seen-on-the-web-how-to-sell-a-zune/ SHARETHIS.addEntry({ title: "Seen on the Web: How to sell a Zune", url: "http://www.daxdesai.com/2007/02/08/seen-on-the-web-how-to-sell-a-zune/" });]]>

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]]> http://www.daxdesai.com/2007/02/08/seen-on-the-web-how-to-sell-a-zune/feed/ 0 The Real Reason we want to attack Iran http://www.daxdesai.com/2007/02/08/the-real-reason-we-want-to-attack-iran/ http://www.daxdesai.com/2007/02/08/the-real-reason-we-want-to-attack-iran/#comments Thu, 08 Feb 2007 13:01:00 +0000 admin http://www.daxdesai.com/2007/02/08/the-real-reason-we-want-to-attack-iran/ SHARETHIS.addEntry({ title: "The Real Reason we want to attack Iran", url: "http://www.daxdesai.com/2007/02/08/the-real-reason-we-want-to-attack-iran/" });]]>
George Bush loves Microsoft. Apparently he had a preview version of MS Vista and fell in love with it. Thus Iran is evil. You can buy pirated copies of Vista there for $8.

Yeah they have to pay. We should send some aircraft carriers and oil tankers there right away.

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]]> http://www.daxdesai.com/2007/02/08/the-real-reason-we-want-to-attack-iran/feed/ 0 Windows vs Linux Server – Why its not secure visually http://www.daxdesai.com/2007/02/05/windows-vs-linux-server-why-its-not-secure-visually/ http://www.daxdesai.com/2007/02/05/windows-vs-linux-server-why-its-not-secure-visually/#comments Mon, 05 Feb 2007 23:59:00 +0000 admin http://www.daxdesai.com/2007/02/05/windows-vs-linux-server-why-its-not-secure-visually/ SHARETHIS.addEntry({ title: "Windows vs Linux Server – Why its not secure visually", url: "http://www.daxdesai.com/2007/02/05/windows-vs-linux-server-why-its-not-secure-visually/" });]]>

This is a great picture of why Windows is difficult to secure. This guy has shown visually what many people debate in words all over the internet. article here.

Can you guess which one is Apache/Linux and which picture is IIS/Windows?

Click on the pictures to the left for a larger view.

Hint: Apache/Linux is the cleaner/fewer system call picture.

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]]> http://www.daxdesai.com/2007/02/05/windows-vs-linux-server-why-its-not-secure-visually/feed/ 0 Vista Upgrade Flowchart http://www.daxdesai.com/2007/02/03/vista-upgrade-flowchart/ http://www.daxdesai.com/2007/02/03/vista-upgrade-flowchart/#comments Sun, 04 Feb 2007 06:40:00 +0000 admin http://www.daxdesai.com/2007/02/03/vista-upgrade-flowchart/ SHARETHIS.addEntry({ title: "Vista Upgrade Flowchart", url: "http://www.daxdesai.com/2007/02/03/vista-upgrade-flowchart/" });]]> If you are considering upgrading to MS Vista you will want to follow this flowchart. Click on the flowchart on the left to enlarge it for the full effect. Check out the article on bbspot. A pdf/jpg version for you to hang in your office can be found here.

Get a Mac.

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]]> http://www.daxdesai.com/2007/02/03/vista-upgrade-flowchart/feed/ 0 Heard on the Street: Vista so reliable it can run your life support http://www.daxdesai.com/2007/02/01/heard-on-the-street-vista-so-reliable-it-can-run-your-life-support/ http://www.daxdesai.com/2007/02/01/heard-on-the-street-vista-so-reliable-it-can-run-your-life-support/#comments Fri, 02 Feb 2007 01:39:00 +0000 admin http://www.daxdesai.com/2007/02/01/heard-on-the-street-vista-so-reliable-it-can-run-your-life-support/ SHARETHIS.addEntry({ title: "Heard on the Street: Vista so reliable it can run your life support", url: "http://www.daxdesai.com/2007/02/01/heard-on-the-street-vista-so-reliable-it-can-run-your-life-support/" });]]> ” While on a trip in Europe, Bill Gates claimed Vista is so secure and reliable that it could even run life support systems in hospitals.”

L-O-FREAKING L

article here

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]]> http://www.daxdesai.com/2007/02/01/heard-on-the-street-vista-so-reliable-it-can-run-your-life-support/feed/ 0 Zune Phone in the works? http://www.daxdesai.com/2007/02/01/zune-phone-in-the-works/ http://www.daxdesai.com/2007/02/01/zune-phone-in-the-works/#comments Thu, 01 Feb 2007 23:44:00 +0000 admin http://www.daxdesai.com/2007/02/01/zune-phone-in-the-works/ SHARETHIS.addEntry({ title: "Zune Phone in the works?", url: "http://www.daxdesai.com/2007/02/01/zune-phone-in-the-works/" });]]>
This is definitely not far-fetched. Microsoft already has the Windows Mobile OS and gaining rapid market share in the mobile OS space.

Chris Stephenson, general manager of global marketing for Zune let the cat out of the bag yesterday, telling Reuters that “a Zune phone is definitely part of the future of this brand.”

Note to self – Get iPhone in June.

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]]> http://www.daxdesai.com/2007/02/01/zune-phone-in-the-works/feed/ 0 Seen on the web: Which version of Vista? http://www.daxdesai.com/2007/01/29/seen-on-the-web-which-version-of-vista/ http://www.daxdesai.com/2007/01/29/seen-on-the-web-which-version-of-vista/#comments Tue, 30 Jan 2007 03:02:00 +0000 admin http://www.daxdesai.com/2007/01/29/seen-on-the-web-which-version-of-vista/ SHARETHIS.addEntry({ title: "Seen on the web: Which version of Vista?", url: "http://www.daxdesai.com/2007/01/29/seen-on-the-web-which-version-of-vista/" });]]>
Bill Gates claims Vista will “wow” its users. As in, “Wow, does this suck” or “Wow, WTF happened to all my data?”

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