My semi-annual review of Microvision
INTRO Here's my semi-annual exercise to see if I remember why I own the stocks I own, and so I can check back and see if their stories have changed. I post in case it helps others too.
Microvision
MVIS (market cap $0.042B)
Ah, Microvision. My story stocks of story stocks. Every year looks like next year will be the year. Well, maybe next year. But I digress.
Microvision is an innovative electronics company based on the simple idea of using an oscillating mirror built into a chip (MEMS = Micro Electro Mechanical System). By oscillating the mirror, images can be captured or displayed. Their primary initial product is a standalone pico-projector the size of an iPhone called the ShowWX. (Disclosure: I bought one and like it without loving it but don't need it so I don't use it much. Maybe if I had a smartphone . . .) The product has been well received critically but with reservations. It is intended for small audiences in dim places, not as a replacement for conference rooms filled with hundreds of people. It works fine for watching movies at about 36 inches as long as the sun isn't streaming in the windows. Unfortunately, the early units used a very expensive component so each sale may have been at a loss. The cost of that unit (the green laser) is expected to drop about 80%. Power, size, and price are expected to drop as quality and brightness increase due to the new green lasers.
Near term product releases are expected to come from Pioneer for their car HUD (Head Up Displays), and other rumored projects. A prototype cell phone was produced. The CEO has stated that the company will be at least cash flow positive six months after the commercial release of an embedded cell phone. The earliest date for such a device was last Christmas. It is expected to be released by next Christmas, but no official announcement has been made.
The perpetual delays have started the company into what appears to be a financial death spiral. They received a delisting letter from NASDAQ, which will probably prompt a reverse split unless significant news is released soon. Dilution has been discouragingly severe.
Their potential is as great as ever, but their financial picture is unattractive. It wouldn't take much good or bad news to significantly change the company's fortunes in either direction.
DISCLOSURE LTBH since 1999. The first shares are gone and I have more than enough if the company finally succeeds and the stock reaches the heights I think are possible. I continue to hold and would only buy more if there was quantifiable, positive, revenue producing news and I had discretionary cash. I suspect I am not alone. Every time a rumor mentions Apple and Microvision MVIS pops. Maybe some day that or similar news will cause the stock to pop, continue to rise, and go stratospheric. Who knows? Stay tuned.
(I've also collected links to the other discussion boards and my other stocks over on my blog trimbathcreative.wordpress.com . There's also a longer, and fairly popular, post describing the company and its situation. trimbathcreative.wordpress.com .) |
