DonFerrari said:
jacks81x said:
Sony is not where they want to be financially for sure, but at the same time I don't think they're in any danger of declaring bankruptcy within the next 2 years either as Macroaxis suggested a couple months ago. They still have a positive EPS and their P/E is not terrible. Market cap sits at around 17 B. Getting rid of their unprofitable PC division was a good move and probably should've been done a few years earlier when the PC market space was already beginning to stagnate. It would be smart of them to continue to trim and decrease their presence in the consumer electronics space. There's just too much competition there right now and Sony doesn't have the pricing power that it once had. Instead, they should focus more on Entertainment, Content/Services, and their flourishing Financial businesses. Most people don't know that Sony's most profitable division is actually their Financial arm, accounting for 60+% of their operating profit the past few years. That's also why I don't think Sony is in any real danger to go bankrupt within the next couple years. If not for their Consumer Electronics division bleeding billions of dollars the last few years, Sony's financials would look a whole lot better. So if all else fails, they could sell off most of their Consumer Electronics assets, downsize and rebrand themselves as a financial institute. |
Isn't it crazy that a company doing so good on financial service do so bad on their financial aspect? Maybe they should loan from themselves or hire themselves to administrate themselves.
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That's true and the irony seems to run pretty prevalent as most of our own financial institutions in the US were down in the dumpster after the Crash and needed bailout money to survive.
