Nuance Communications, Inc. (NASDAQ:NUAN)

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Voice recognition is the future of computing.

Priced for no growth. Market beating returns if they grow even a little.

Buy on the dip

Earnings miss creates a good entry point. This technology is a natural as the young lack spelling ability (texting etc) and professionals have accepted it for meeting their needs of simple transcription for digital records (medical records, etc). The company is the leader in the field and becomes a takeover target for any large company that might want to enter the market (APPL, MSFT. etc/). It replaces the need for considerable secretarial work and there are many new natural extensions of the technology to grow into and NUAN is moving to do so.
Cautions exists if it turns out the earnings miss was due to an inherent problem within the company or management. If a major technology company develops a significantly better platform and decides it doesn't need to buy out NUAN.

Pull back pick up. Nuance has a market, just not so sure they will grow into it.

Good outlook short term. Pings hold on for a ride.

I gave this the green thumb on Investor Beat today. Love how they make their money a number of different ways, voice recognition will only grow in importance and Nuance will play a big role in defining that.

Warburg Pincus and Carl Ichan building stakes? I call activism.

Carl Icahn now in the game with over 9%. Could get interesting.

Leader in voice recognition - myriad applications though smartphones alone make this a winner

Siri and Dragon in iPhones, Androids, TV and medice give Nuance a real change to be big on a 5 year time scale. Recent earnings disappointment may be the buying opportunity.

Speech technology has come a long way since the 1980's and Nuance is disrupting the medical transcript field. Take it from my sister if you write medical transcripts look for another job.

Voice prompting and directing will continue to propagate. Nuance is a leader in this niche. My nephew is 'writing' his book with Nuance's DragonSpeak. The discount pricing is too good to forego.

Bought exactly 3 yrs ago at $10.24. They've done fine by me.

Others like Apple may try to develop vice dictation software, but Nuan is the clear leader and there effort to use voice to increase the productivity of medical professionals is very helpful. Doctors are notorious for not signing names legibly and being in an extreme hurry. The later is fine with those who pay for the doctors time. So saving doctors time while managing medical records securely and accurately fills a dire need. Baby boomers will start to need more health care than they provide and medical service costs naturally rise relative to more automated manufacturing so there is real demand for any effective way to automate medical service delivery. Doctors need time with patients to observe and listen, so record keeping and paperwork are smart targets for profitable savings.

Medical devices

Hands free is the ultimate way to communicate until mind reading is possible.

The recent haircut makes this call easier. In the near future, computing is going mobil. But the weakness of mobil is the weakness in the keyboard/mouse solution. Touch screens go only so far, but what better method than to just talk to our devices? This is accentuated by trends in the on-line interactive area where natural language recognition is becoming more important. Further development in the image processing area is being driven by robotics, where scene evaluation is in its infancy. NUAN has a lot of work ahead.