0. Merger expected to be voted on and passed this week for dexo and spmd. past participation levels have been high and institutional ownership is high. short squeeze possible here
1. My friend Omar has reconciled DEXO’s guidance to their linear interpolated Revenue and EBITDA estimates
its interesting. based on the FY2012 guidance, the predicted Q4 revenue will be much less than what you would estimate the Q4 revenue to be based on a simple linear interpolation
but its pretty much the opposite for the EBITDA estimates
https://docs.google.com/spreadsheet/pub?key=0AsZ-xtOwOVpzdGtPWXJBN0hGZDRWdUpSX0pMTl9sYUE&output=html
2. Apparently I am not the only person following phone book companies..
http://seekingalpha.com/article/1259471-dissecting-hayman-capital-s-q4-2012-holdings
http://seekingalpha.com/article/1247681-yellow-media-not-pretty-but-pretty-darn-cheap
Dex One Corp (DEXO) and Supermedia Inc. (SPMD) were more popular purchases for Hayman due to their upcoming merger which is expected to close in the next couple of weeks. Both trading at market caps less that 25% of their free cash flows, these two advertising companies have, in my opinion, the most upside potential of any of the stocks in Hayman’s portfolio.
Popular? Really? I guess if you ignore that over 20% of the float is short, the debt is trading subpar and that the companies make phone books you might be allowed to sit at the popular table… but there is nothing popular about these two purchases, unless you count popularity by my personal blog roll, and then by all means, apparently I should be a fashion icon for what is popular in the future, because it’s definately not popular when i get involved… i mean nothing popular trades at 52-week and all-time lows.
3. Perspective is everything. There is a lot of upside here across the next couple years.
4. I think I see a bullish wedge pattern. Haha, just kidding. I have no idea what technical analysis is.
