sony

C.R. BARD INC. $102 (New York symbol BCR; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 82.3 million; Market cap: $8.4 billion; Price-to-sales ratio: 2.8; Dividend yield: 0.8%; TSINetwork Rating: Above Average; www. crbard.com) sued W.L....

NVIDIA CORP. $12 (Nasdaq symbol NVDA; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 624.9 million; Market cap: $7.5 billion; Price-to-sales ratio: 1.8; Dividend yield: 2.5%; TSINetwork Rating: Average; www.nvidia.com) has developed a new handheld video game system. Called the Shield, this device features a 5-inch, high-definition touch screen that plays games designed for Google’s Android mobile operating system. Users can also wirelessly stream games from their computers to the Shield.

Nvidia normally designs chips for other manufacturers, so making its own device adds risk. However, the Shield should help it profit from the growth of mobile gaming. As well, developers already make games for Android, so Nvidia can focus solely on hardware. That gives it an advantage over competitors like Sony and Nintendo, which must convince programmers to make games specifically for their systems.

Nvidia is a buy....

SONY CORP. ADRs $10 (New York symbol SNE; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.0 billion; Market cap: $10.0 billion; Price-to-sales ratio: 0.1; Dividend yield: 3.1%; TSINetwork Rating: Average; www.sony.com) has agreed to buy 11% of distressed Japanese camera maker Olympus for $640 million. In addition, the companies will work together on new medical-imaging equipment that includes Sony’s TV technologies. They will also share digital camera technology. Sony feels this investment will help cut its reliance on its struggling TV set business. To pay for this purchase, Sony is selling $1.9 billion of convertible bonds due in 2017. That will increase its long-term debt to $13.1 billion, or a high 1.3 times its market cap. As well, if all bondholders convert, the number of shares outstanding would rise by 15.6%. That would dilute the holdings of current shareholders. Sony is still a hold.

SONY CORP. ADRs $10 (New York symbol SNE; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.0 billion; Market cap: $10.0 billion; Price-to-sales ratio: 0.1; Dividend yield: 3.1%; TSINetwork Rating: Average; www.sony.com) has agreed to buy 11% of distressed Japanese camera maker Olympus for $640 million. In addition, the companies will work together on new medical-imaging equipment that includes Sony’s TV technologies. They will also share digital camera technology. Sony feels this investment will help cut its reliance on its struggling TV set business.

To pay for this purchase, Sony is selling $1.9 billion of convertible bonds due in 2017. That will increase its long-term debt to $13.1 billion, or a high 1.3 times its market cap. As well, if all bondholders convert, the number of shares outstanding would rise by 15.6%. That would dilute the holdings of current shareholders.

Sony is still a hold.

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STMicroelectronics NV, $5.88, symbol STM on New York (Shares outstanding: 910.6 million; Market cap: $5.4 billion; www.st.com), makes over 3,000 products, mainly computer chips, for over 1,500 clients in a range of markets, including telecommunications, networking, automobiles, industrial products and consumer devices. STM is based in the Netherlands, but its headquarters is in Switzerland. The computer chip market is highly competitive, so STM has focused on gaining high market shares in niche areas. For example, the company is the world’s largest supplier of components for automobile satellite radios. STM has also developed the industry’s smallest, most energy efficient and top-performing chip-scale gyroscope. This product is used in motion-sensing devices like Nike’s FuelBand, which you wear on your wrist to track the amount of exercise you’re getting. It is also included in many new smartphones, including Apple’s iPhone 5....

SONY CORP. ADRs $12 (New York symbol SNE; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.0 billion; Market cap: $12.0 billion; Price-to-sales ratio: 0.2; Dividend yield: 2.7%; TSINetwork Rating: Average; www.sony.com) is buying California-based Gaikai Inc., whose technology makes it easier to play online video games. The purchase will help Sony sell more video games to users of its mobile phones and handheld gaming devices. The company will pay $380 million for Gaikai when the deal closes later this year. To put that in context, it lost $312 million, or $0.31 per ADR, in the three months ended June 30, 2012. Sony is a hold.

SONY CORP. ADRs $12 (New York symbol SNE; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.0 billion; Market cap: $12.0 billion; Price-to-sales ratio: 0.2; Dividend yield: 2.7%; TSINetwork Rating: Average; www.sony.com) is buying California-based Gaikai Inc., whose technology makes it easier to play online video games. The purchase will help Sony sell more video games to users of its mobile phones and handheld gaming devices.

The company will pay $380 million for Gaikai when the deal closes later this year. To put that in context, it lost $312 million, or $0.31 per ADR, in the three months ended June 30, 2012.

Sony is a hold.

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Electronic Arts Inc., $12.82, symbol EA on Nasdaq (Shares outstanding: 317.9 million; Market cap: $4.1 billion; www.ea.com), makes video games for a wide variety of devices, including computers, video game consoles (such as the Sony PlayStation, Microsoft Xbox and Nintendo Wii) and mobile devices (including Apple’s iPhone and iPad). The company sells a number of sports-based titles that it reissues annually. It has licensing deals with most major professional sports organizations, including the National Football League, FIFA (soccer), Major League Baseball and the National Hockey League. Electronic Arts also develops its own game franchises. It constantly releases sequels and new versions that give it ongoing revenue. Top-selling examples include The Sims (a life-simulation game), Need for Speed (a car-racing game) and Battlefield (a war game). As well, the company makes games based on popular movie and literary characters such as Harry Potter....

GOOGLE INC., $624.60, Nasdaq symbol GOOG, currently has two share classes: the class A shares, which have one vote each, and the class B shares, which have 10 votes each. Only the class A shares are listed and traded. This week, the company announced that it would create a new share class: the non-voting class C shares, which will trade on Nasdaq. Existing class A and B shareholders will receive one class C share for each share they currently hold, for an effective 2-for-1 stock split. The proposal requires the approval of shareholders voting as a single group at the company’s annual meeting on June 21, 2012. Insiders control about 92% of the class B shares, which gives them 66% of the total votes, so the plan should pass easily....

As the stock market rebounded in 2009 from one of the worst crises in years, Pat McKeough was invited by Jonathan Chevreau of the Financial Post to appear on his ‘Wealthy Boomer’ telecast. In a two-part interview, Pat aired his views on a wide variety of investment subjects. Now, with the stock market coming off last autumn’s lows, we think it’s an appropriate time to replay the interview, entitled “40 stocks to retire on” on YouTube. Pat discusses not only specific solutions for volatile markets, but also how his investment advice applies in all market conditions. Here is part one of the interview (part two will be posted on Monday, February 20).
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