CASH ASSETS:HTC, the one-time highest-selling smartphone brand in the US, is facing dropping market shares amid speculation the brand cannot recover from sales declines
Date: Aug 11, 2015
A 60 percent plunge in HTC Corp’s (宏達電) stock this year pushed its market value to below its cash on hand. Investors have effectively said the smartphone maker’s brand, factories and buildings are worthless.
HTC’s market price fell yesterday to NT$47 billion (US$1.48 billion), below the NT$47.2 billion cash it had at the end of June. A drop of as much as 9.8 percent in its stock before a late rally signaled investors put no value on the rest of the company.
“HTC’s cash is the only asset of value to shareholders,” said Calvin Huang (黃文堯), who has a NT$46.50 price target on the stock at Sinopac Financial Holdings Co (永豐金控) in Taipei. [FULL STORY]