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Forums - Sony Discussion - Sony to sell $1.9bn of conv bonds, stock down 10% in early trading.

Augen said:
Wlakiz said:

Thank you for your concern but my sony investment is just a small part of my portfolio. I invested in Sony because I believe they can sitll create a great product. Again, if I invest for the sake of making money, I would have put my investments in Energy/Resource over Technology.

I am genuinely curious, what companies this year do you have that are more pragmatic or profitable?

I do get having a flutter with bit of cash on emotional pick, why else would I buy stock in a football club? ;)

Being Profitable does not mean stocks would reflect on it.. my apple stocks plummet with iphone 5's map disappointment coupled with some execs leaving, even with the 'record breaking sale'.


Exxon and Chevron stockwise did pretty well last few quarters. 



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I'm sure in order to get people to look at Sony in a positive light Sony some top people step down. A new CEO is about 1-2 weeks away.



Ask stefl1504 for a sig, even if you don't need one.

Moonhero said:
I'm sure in order to get people to look at Sony in a positive light Sony some top people step down. A new CEO is about 1-2 weeks away.


I'm sure that making some decent sized profits 6 or so quarters in a row would do better in achieving the desired effect.

Often, when companies are in trouble and start chopping/changing top staff - it's seen as "rearranging deck chairs on the Titanic" - as the saying goes - and does exactly the opposite to inspiring confidence. And to extend the metaphor - investors jump off like rats leaving a sinking ship.

Look at Zynga over the past 2 months. Eek.



@JimmyDanger

Seeing as the markets have almost no regard for the current CEO. Part of the reason that the stock has taken just a horrible beating since he came on. I think the risks of replacing him are pretty negligible, and it just might buy Sony some good will. There just isn't that much of a downside. You used the Titanic as a metaphor, but I think the market looks at the management at Sony as if they are oblivious to the fact that the ship is sinking.

His running dialog which is intended to rebuild confidence is doing the exact opposite thing. People aren't seeing it as being up beat. They see it as being dangerously out of touch. All of the acquisitions are actually making it so much worse. They just come across as someone thinking they are in charge of a thriving company. Rather then a company that is losing billions annually, and is severely in debt.



@Dodece

Interesting. I was just going on the fact that successive CEO replacements have failed to spark a recovery. The "Rearranging deck chairs on The Titanic" metaphor could equally apply to the restructuring Kaz has implemented, that, at this stage - has shown few positive financial gains.

Your points warrant consideration. Well stated, and a valuable counterpoint to my own.

As a gambling man - what kind of odds would you put on him being replaced in the next - say - 3 months?

Would they find another position for him in the company? Or would they boot him? And does it look like they have any other standout replacements lined up? Surely a "golden handshake" for Kaz would cost them a few million, considering how long he's been at the company.



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@JimmyDanger

He will probably step down of his own volition. I am probably in the minority in thinking that he was coerced into taking the position in the first place. I think once his one year anniversary arrives he will feel that he will have done his duty, and he will force the issue with the board. Either falling on his sword publicly, or quietly receding back into the rank and file. I just don't think at that point he will feel obligated to name no for a answer.

In answer to your second question about who would replace him. You might think me crazy for suggesting it, but I think they might tap Crazy Ken for the position. There are a lot of reasons to do so, but the biggest reason of all is that he is expendable. I am thinking at that point he might be the only one that could be convinced to take the job. Nobody outside of Sony will want the job, and nobody in Sony with real future prospects will want the job.



Just thought I bring this back.. Sony is up 20% this week. Did anyone else make loads of cash?



Wlakiz said:
Just thought I bring this back.. Sony is up 20% this week. Did anyone else make loads of cash?

Seriously? Im surprised theres been no thread. The people interested in this stuff are usually really quick to say something about it. DirtyP... man-bear-pig... kowenicki...

Strange!



                            

Hey can someone break this down for me.  Does this mean anything to Sony? It was written yesterday.    

http://money.cnn.com/2013/01/25/investing/japan-yen-nikkei/index.html

Japan has denied that it is deliberately trying to weaken the yen, saying the recent depreciation is part of a normal market correction.

Related: Japan spurs talk of currency war

But the nation's exporters, including major automakers Toyota (TM) and Honda (HMC), stand to benefit from a weaker yen, which makes Japanese goods more competitive on the global market.

Meanwhile, investors have been piling into Japanese stocks since December, when Abe returned to power, promising to lift the economy out of recession.

Abe quickly unveiled a $117 billion fiscal stimulus package, including increased spending on public works, disaster recovery and aid to smaller businesses.

The combination of fiscal stimulus and central bank easing has attracted the attention of investors around the world, said said Michelle Gibley, director of international research at Schwab.

"Japan is really the story in 2013," said Gibley. "The motto this year could be 'don't fight the BoJ.'"

 

 

Also, this.

http://www.bloomberg.com/news/2013-01-24/sony-27-convertibles-jump-revives-market-in-slump.html

"Sony 27% Convertibles Jump Revives Market in Slump" ^



NYANKS said:

Hey can someone break this down for me.  Does this mean anything to Sony? It was written yesterday.    

http://money.cnn.com/2013/01/25/investing/japan-yen-nikkei/index.html

Japan has denied that it is deliberately trying to weaken the yen, saying the recent depreciation is part of a normal market correction.

Related: Japan spurs talk of currency war

But the nation's exporters, including major automakers Toyota (TM) and Honda (HMC), stand to benefit from a weaker yen, which makes Japanese goods more competitive on the global market.

Meanwhile, investors have been piling into Japanese stocks since December, when Abe returned to power, promising to lift the economy out of recession.

Abe quickly unveiled a $117 billion fiscal stimulus package, including increased spending on public works, disaster recovery and aid to smaller businesses.

The combination of fiscal stimulus and central bank easing has attracted the attention of investors around the world, said said Michelle Gibley, director of international research at Schwab.

"Japan is really the story in 2013," said Gibley. "The motto this year could be 'don't fight the BoJ.'"


More favorable exchange rate effects for Sony. So dollars (or whatever) made abroad means more Yen for Sony. Also, investors believe that the Japanese economy with grow more with the stimulus, although I'm not sure how much of that is contributing to the stock price increase.

Overall, very good news from Japan. They're finally being aggresive with their fiscal and monetary policy, unlike the rest of the world.