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MSFT Down With The Rest
Stocks are taking a dive this morning on tanking Asian markets, contracting Chinese PMI, and news about an upcoming austerity referendum in Greece. Shares of MSFT are down about 3% along with the rest of tech. Upcoming catalysts include Windows 8 and entrance into the tablet market; Windows Phone 7 / Mango rollout and adoption with hardware partner Nokia; strides against current market leaders in cloud computing; making money in the online business, including integration of Skype and improving the search / display business; and continued evolution of Kinect and next generation Xbox console. The stock currently trades at 7.2x Enterprise Value / TTM Free Cash Flow.
Is Kinect Going Corporate? (Business Journal)
Here comes the commercialization of the Kinect technology beyond your living room. Microsoft is celebrating Kinect’s one-year anniversary by talking up the commercial possibilities of the device. It has seen Kinect pop up in a variety of industries and is now ready to take the technology to the business world. More than 200 businesses (Toyota, Houghton Mifflin Harcourt, Razorfish) are part of a global pilot program to explore Kinect’s extension into corporate and commercial consumption. Microsoft said it would release a full commercial SDK for Kinect in early 2012.
Nokia’s Plan In The U.S. Is To Target First-Time Smartphone Users (The Wall Street Journal)
Nokia’s new Windows Phones won’t hit the U.S. until next year, but executives are already hard at work devising their strategy for cracking our market. Basically the company is looking at attracting first-time smartphone users who don’t want to pay crazy amounts of money for a new device. Easier said than done. A wide array of product lines hasn’t worked in the U.S. in years. But the Windows Phones will be the first high-profile Nokia launches in years, and Microsoft needs Nokia to nail it.
Daily Trader: Jim Cramer Says Avoid Microsoft Stock (CNBC)
In case you missed Jim Cramer’s Mad Money last night, the personality says to avoid shares of Microsoft. In a tribute to Halloween, Cramer says he’s through with being tricked. “Don’t buy, don’t buy” and “low risk, low reward,” I believe were the exact words to characterise his thoughts on shares of Microsoft. That’s despite the dividend yield, of which he is usually a fan.