Avigilon Fights Back Against Falling Share Price With Share Buyback

Author: John Honovich, Published on May 08, 2015

Avigilon's stock is down 50% from their peak price last year.

The stock price is also significantly below the levels when Avigilon raised an additional $169 million from investors in the past 2 years.

Now, Avigilon is gearing up to buy back stock at the much lower price levels. In this note, we look at the plan and how it might help Avigilon.

********'* ***** ** **** **% **** ***** **** ***** **** year.

*** ***** ***** ** **** ************* ***** *** ****** **** Avigilon ****** ************ $*** *********** ********* ** *** **** * *****.

***, ******** ** ******* ** ** *** **** ***** ** the **** ***** ***** ******. ** **** ****, ** **** at *** **** *** *** ** ***** **** ********.

[***************]

*************

** ***** *** ********* ** ****, ******** ***** *** ******** was ******* ******** **. ** *** **** ** ******, *** difficulties **** **********, ******** **** ****** *********** ********** ********** *************************** ** **** ************.

***** ***** ***** ******** ****:

********'* ****** ************** ** *** ~$*** ******* *** ******** ** a ******* **** ** ~$*** *******.

Buying **** *****

******** *** ********* * "****** ****** ****** ***" ***** ****** ** ** *** ** ** **% ** the ****** ***** **** *** **** ** ******. *** ******* is *** ******** ** *** *** ****** ***, ** **** do, *** ****** "**** ** ******** ** ******** *** *********."

*** ************, ******** ******** *** ***** ** ***********:

"********'****** ** ********* ******** *** ******* ***** **********'******* ****** (*** "******") **** *** ******** ******* *** ********** ********, *********** ***** record, *** ****** ********* ** *** ********. "

***********?

******** ** ***** ************ ********* **********, **** ****, ***** *** Hikvision, *** *** **** * ********** **** *** *** ***** being ***********. *** *******, **** *** ******** ** ~** *******, while ********, **** * ******* ****** ****** ****, ** ******* at ** ** ****.

** *** ***** ****, ******** *** * *** **** *********** / ********** ***** **** *** ********** ********* ** *** *****. For *******, * ***** ***** ****** ***** ********* ***** *********** ** *** ***** ** **** *** **************** * *** **********. *** *** ******* *** ***** ********* departures ******** **** *** *** ********* ********** **** ********* ****** to ******* ****.

********'* ********** **** ** ****** ** ********** **** **** *************. Look ** ***** **** **** ************* ** ** ***** **** ***** ********* *** ********* ** the *******'* ************ ****** *** ******* ********** ****** *** ********. Even**********, * ******* ************** *** ********'* *****, *** *** ************ *********** ***** *** company's ****** *** ******* ** ******** *********.

**** *************, ** ** **** ** *** *** *** ******* is ****** ** *** ******* *************** ** *** ********* ****** market, ******* ** *** ******* ************* *** *** ******* ****. Even ** ******** ** * ******** ******* *******, ****** *** only *** ** ********* ********** ** *** ** ** **% level, *** *** **-**% ***** ** **** ** ****** ***.

Good **** *******

***********, **** ************ ****** **** ******** ** *** ***** **** as (*) ** ***** *** *******'* ********** ***** ** ****** the ***** ***** *** (*) ******** ********** ******* ***** *******, (3) **** **** *** ***** *** **** ** **** *** millions ** ******, ******** *** **** **** ****** **** *** credit ********* ** ****** ***** *** ****.

*** ****** ********** *** ********** *** **** **** *** *** company. **** *** ************ ********* ****** ****** *************, *** ******** continue ** ***** *** **** *********, ****** *******, ****** ***********, new ************ ***.? ** **** ******** ** ******* **** **** to * '******' ************ ************?

UPDATE */****: ****** ****

******** *** ********* ** **** ******* ********* ******** ********, ******* *** ** ***** '*********',*** ** ** ********* ************** *** ***** *********** ********** **** ****.

** *** **** ** ********** **** ****, *** ***** ***** was ~$**, *** ** ** **** ** ~$**.

Comments (7)

...******** *** **** **** ****** **** *** ****** ********* ** easily ***** *** ****.

****** **** ***** **** ******** ***** ************** *** ******** ******* *************. ** **** ***** *** ******* *************.

"** **** ***** *** ******* *************."

***? *** ****? ******** ** ***** ******* **** *** *****?

*********, *****'* **** ***** ** *** ***** *******, **** ** they *** ******* ******* ** ****** *****-******* ** ****** ** what ******** ***** **.

************, ** ****** *** **** **** **** ** ***** *** stock ***** *** **** ********* ******* * ****** **** ***, when ********* **** *** ******* **** ****** ******* *** *** a ******* *****.

*** **** ** *****************?

Interest *******

*,***,*** ****** @ $** = $**,***,*** = ~$*,***,***/**** ********. ****'* > **% ** **** ********.

Increased **** ** ******* / ********* ******

** ******** ******/*******/***** ***** *********, **** *** *** **** ** defaulting ** *** **** ** ** ***** ********* ********* ******* loans.

**** **** ** *****************?

*** ********* ********* ****** ********* ***** ** *** ***** ***** of ********?

*** ******* ******** *** ******* ** *** ***** *****?

*'* ******** **** *** ******** ** ****** ****** ***** ** have * ******** ******. ** *** ****** **** **** *** just ****** *** *** ****** *** * ***** *** **** of ****** *** ******** ** ****.

Paying **** for the shares is essentially saying, "The best way we can create investor value with our available capital is not to invest more in R&D or Sales and Marketing, but rather to speculate, right alongside our investor, on what our future performance will be."

*** ** ***** ** ** ****** *** *** *** *****, ok.

*** ********* ** ****** ** ******* ***** **********.

*** *** ******** **** *** *** **** **% (*********** **** slightly ****).

**** **** * *** **** *** **% ** **** *********** and *** ****** **** *** ***** ** ** ****.

*** *** ***** ** ******* *** ***** **** **. ** they *** ***** *** ** ***** ** ** **, **** win. ******, **** *** ***** ** **** *** ***** *** shares ** * ****** ***** *** '**** *****'.

** *** **** *********** ********, **** ** ******* **** *************. Just **** *** ********* ***** ***** *** ***** *** ******, a ******* *** ** ***. **'* **** *** *** ***** options *** ********* *** **** ******.

******, ********'* *********** *** ***** ** *** **** ******* ******* them, ** **** ****** ** *** ***** ** ******* *** prospects.

*** ***** **** ***********, **** *** ** *** * *** of ****** ** **************, *** ** *********** ******* ****, **** *** *** ****** ** *** **** ** *****...

******** ******** *** ***** ****** **** **** **** **** **** *** Fernandez ******** *** ***** *********** ** $** * *****, *** proceeded ** ******** $*,***,*** (****'* ******************) ** *** **** ****** ** ******* ******** **********.

*** *** **** **** ***?

**** **** **'* ******** **** ********'* *****, *** **** ***.

* **** **'* ***** *** *** ***'* **** **** **** whatever *** **** **** ** ** ***** *****, **** **** it, *** *********** ** ***** **** ******** ** ****** ******* and ***** **** ****?

**** **** **** *******, **** **** ****** ******, **** **** loyal *******. **** **** ** *********** ***** ********, *** ** an ********** ****.

"**** **** **'* ******** **** ********'* *****, *** **** ***."

** ******* ** ** **** *** **** ***** **'* '********'. Right ***, ** *** *** ~$*** ** **** *** * release ** *** ****. *** ***** *** ** *% *****, or $** ******* ******.

***, ***, * ** ***********. ** ***** **** *** ** be * *** ******** ** **** *** * *** ** shares *** *** ***** ********* ** ** ****. *** **'* a ****** ***** ******* / ****** ** ******** **** ***** help ****.

**** ** ** *********** *********:

** ********** **** *** *****, ***** ********* **** ** ******** under *** *** **** *** ****** **,*** ******, ******* ** certain ********** **********, ***** ** ***** ** **% ** ********'* average ***** ******* ****** ** *** *** *** *** *** calendar ****** ***** ***** **, **** ***** *** ***,*** ******.

** ***** *** **** ** ** **** *** **** *** stock**** ** * *****, *** *** ******* ***** ******* **,*** ****** **** ***** **. *** ******* ***** *** total ******* ** ****.

* **% ********** ****** *** ****** **** ****** ** ********* that ** **** ** **** * ********** ****** ** *** price *** **** ***. ** ***** **** *** ** ********** when *** ***** ** ****** * ***** ***.

****** **** ***'* ****** ** ****; ******** *** **** *** on * **** **** *** ** ********** ** *********** ***********. Still ***** ****'* *** **** **** ** *** ** **** they ***.

Login to read this IPVM report.
Why do I need to log in?
IPVM conducts unique testing and research funded by member's payments enabling us to offer the most independent, accurate and in-depth information.

Most Recent Industry Reports

Camio Natural Language Processing Tested on Sep 27, 2016
The ex-Googler led team from Camio has advanced its video monitoring offering to include natural language processing. Camio ingests video,...
Hacked Dahua Cameras Drive Massive Cyber Attack on Sep 27, 2016
Cyber attacks are accelerating and IP cameras are behind many of them. Worse, last week, a 'massive' attack was carried out using numerous Dahua...
Axis Secretly Paid Anixter Sales People To Push Axis NVRs on Sep 26, 2016
Internal Axis communication shows how Axis paid Anixter and Tri-Ed sales people with secret bonuses to push Axis NVRs. In this report, we examine...
VLANs for Video Surveillance on Sep 26, 2016
Many people confidently say to 'use VLANs' as an answer to IP video networking problems and as a way to signal expertise. But how should VLANs be...
Ambarella CEO Admits H.265 and 4K Not Popular on Sep 26, 2016
Ambarella is the main chip provider for high-end surveillance cameras driving higher resolution and new CODECs. While Ambarella has been pushing...
Nest Cam Outdoor Tested on Sep 23, 2016
After years of claiming an outdoor model was "coming", addressing their biggest user demand, Nest has finally released their Outdoor Camera, an...
ACTi Refuses Race To The Bottom, Shifts To Solutions on Sep 23, 2016
The original low cost IP camera disruptor was ACTi. Back in the 2008 - 2010 time frame, Taiwanese manufacturer ACTi challenged the Western and...
You Get Robbed, Canary Will Pay You Up To $1,000 on Sep 22, 2016
Canary is trying to break the status quo in DIY security, first by raising over $40 million, and now a revamp of their monthly services package...
Milestone Ends Development of "Enterprise" VMS on Sep 22, 2016
Milestone 'Enterprise' was one of the first enterprise video management software offerings, selected by many early adopters of IP video. However,...

The world's leading video surveillance information source, IPVM provides the best reporting, testing and training for 10,000+ members globally. Dedicated to independent and objective information, we uniquely refuse any and all advertisements, sponsorship and consulting from manufacturers.

About | FAQ | Contact