Rovi Corporation (NASDAQ:ROVI)

Mechanical investing

Great technicals, improving fundamentals, increasing sales, great outlook.

Apple TV anyone?

Shares of the company jumped after the digital media services provider said it would sell its Roxio product line to Canada's Corel Corp for an undisclosed amount, and forecast a strong 2012.

This company will be a successful leader in the near future!

Short term bounce here.

Strategic niche in market. Beaten down and coming back nicely. Great growth potential.

http://www.madmoneyfund.blogspot.com/ see why , long term play

Learn a little about Rovi does… click on 'see how >>'

http://www.rovicorp.com/

Review the recent press:

Tivo: http://finance.yahoo.com/news/Rovi-Announces-Data-...
KDG: http://finance.yahoo.com/news/KDG-Joins-Rovis-EPG-...
TNS: http://finance.yahoo.com/news/Rovi-and-TNS-Media-R...
Samsung: http://finance.yahoo.com/news/Rovi-Signs-Interacti...

And the current chart:

http://finance.yahoo.com/echarts?s=ROVI#chart2:sym...

It possible that Rovi is to the set-top-box what Google is to the browser? (An innovative way of catching viewers and grabbing advertising dollars ;-)

There is less momentum, less volume, and less buying going on. We are in the last part of this rally.

The 1929-1930 equity rally (coming out of The Great Depression) lasted 147 days and the market was up 46%. It has been the same amount of time since the March, 2009 low and we are up about the same percentage. It’s déjà vu (paramnesia), so prepare for a drop of about the same percentage (85%).

The big run-up may already be over but the market seems to like the effort to reinvent themselves as a digital content provider, leaving behind the analog anti-piracy legacy. Perhaps they'll achieve what Gemstar did not.

This portfolio tracks the performance of good vs. evil companies.

Evil elements:

Many people have no idea who Macrovision is, and still more people confuse Macrovision for Macromedia (Macromedia makes the popular Flash application used in web sites).

Macrovision, for the uninitiated makes their entire business out of robbing consumers out of their fair use rights to make legal copies of media they buy. Ever tried to copy a DVD or VHS movie? Odds are it didn't work because Macrovision technology is there to ensure that it won't.

All of this is done in the name of antipiracy, of course the technologies in use are completely trivial for well financed pirating organizations to get around, the only ones affected by these methods are the consumers who are in almost all cases making a perfectly legal backup copy of a movie so they can safely store the original.

Now many people would blame the companies that use the Macrovision technology for the evil, and certainly they are no angels, but Macrovision is the company that provides the tools, and the tools serve no purpose other than infringing on people rights, so they get my vote.

From http://robert.aitchison.org/tiki-read_article.php?articleId=52

Too good fundamentals to keep this drop. The bottom is near.

From an end-user's perspective, DRM is an anti-feature. Customers will reject DRM in the long run.

down $5 to $20

As long as content providers want to get compensated for making their products available, rights management will be an on-going concern. MVSN is at the forefront of solutions for all of the various digital distribution routes. As these channels develop, MVSN's profits will increase.

EPS estimate increased and settlement with Motorola is in the works.

Long-term success of company bodes well for weathering any anti-copy protection storms. There are possible synergies with InstallShield & most popular products. Category of protection will be huge.