Quarterhill Inc T.QTRH

Acacia focus shift to diversification

[cabbieJBJ]

Here is a Seeking Alpha article opining on ACTG's rapid rise in value this year.  As we know, ACTG carried much the same albatros as QTRH - tarred with the patent-troll narrative and unable to shift the focus sufficiently to its diversification strategy.  The author here pins the sharp rise in ACTG's stock price to its holdings in life sciences, specifically biotech.  Due to ACTG's tie up with Starboard Value, they were able to made a big splash.  Perhaps QTRH need to seriously re-evaluate a "big spash" now rather than wait  and execute a series of solid strategic tuck-ins.

https://seekingalpha.com/article/4407247-acacia-research-corporation-next-generation-genomic-sequencing-at-a-bargain-price?mail_subject=actg-acacia-research-next-generation-genomic-sequencing-at-a-bargain-price&utm_campaign=rta-stock-article&utm_content=link-2&utm_medium=email&utm_source=seeking_alpha

[wilander]

While a great idea, as Quarterhill -- or as Wilan -- it has never really struck me as a company capable/willing to do a big splash.  It likes to look at the money in the bank and sees that as the success. A quote I have always liked:  "A loser is someone who see's a dollar and is worried about it becoming 99 or 98 cents.  A winner is always looking how to make it higher

[cabbieJBJ]

I think there may be some truth in your belief Wilander.  I recall a quarterly conference call during teh Parker regieme and McEwan talked about using debt to execute a transformative transaction in answer ot an analyst question (CIBC, as I recall).  McEwan's argument was that if teh acquisition target was profitable, that the profits or EBIDTA could nore thanb service the debt

[onlygame]

cabbieJBJ et al, Although I understand the Business World's obsession in "debt to the moon" strategies, along with the rest of the world living in infinite debt, it just seems wrong-headed. These strategies work well when everything is inflating but deadly on the way down.  Classical - property owner gets 2nd mortgage on 1st property to buy properrty #2. Then on and on to

[xanada2]

I tend to agree that Quarterhill should keep the powder dry until we see which way the wind is blowing economically. While the value is present to all with eyes, the current chart is remarkably similar to Cabbie's bubble post...despite the obvious value. Should the markets as a whole meltdown, the "obvious value" would not matter to worried holders in a rush to cash. Since locking

[redcoats]

A heck of a lot of "Winners" on this board then, Wilander. Most know how extremely undervalued QTRH is, so they've been hanging  in here for a long time.

[wilander]

I hear ya redcoats. I'm just finally hitting the wall of wait. I bet I am not alone.