Investors Abandon Carbonite....

Discussion in 'News / Current Events' started by Bro. Curtis, Mar 7, 2012.

  1. Bro. Curtis

    Bro. Curtis
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    ....after their announcement that they will no longer sponsor the Rush Limbaugh show. The backlash to the backlash has begun.

    http://dailycaller.com/2012/03/06/investors-flee-carbonite-after-limbaugh-announcement/


    ...However, it hasn’t done much to contribute to his company’s stock price. Since the market opened on Monday through its close today, Carbonite stock (NASDAQ:CARB) has plummeted nearly 12 percent, outpacing the drop of the NASDAQ index in that same time period by nine-and-a-half points. It was also one of the biggest decliners on the NASDAQ on Tuesday...
     
  2. Paul3144

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    Carbonite also sponsors Thom Hartmann.
     
  3. targus

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    They called attention to themselves in a negative way by announcing that they were pulling their ads from Limbaugh's radio program.

    What else did they think would happen other than their stock going down?

    The should have just stayed quiet and let the tempest in the teacup pass.
     
  4. Bro. Curtis

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    My apologies to mandym. I did not see the thread you had started.
     
  5. Crabtownboy

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    I do not believe it had much to do with pulling their ads from Rush. If you check their stock has been falling since last fall. More likely it hit a sell point for many and they sold. There is a lot of technical trading these days and when certain points are hit automatic buy or sell orders are placed by computers.

    Also your writer did not mention that stocks in general suffered their worst losses in 2012 ... not because of Rush but because of bad news from overseas. Also on Wednesday Caronite rose 4%.

    In September Carbonite [CARB] was close to $20 a share. It has gradually dropped to about 8.5. Nothing to do with Rush during the preceding months. Little o nothing to do. The author of the piece you quoted either has an axe to grind, or just needed to write something that day. Don't put much faith in reports of why a stock moved as it did any one day.

    Thanks for the heads up on Carbonite. I do not see it as a buy just now. But I will start following it and buy on a buy signal. It is quite cheap now. The risk reward ratio will be quite favorable.

    As an aside over 3 dozen companies have now pulled their ads from Rush. Their stock has not tanked.
     
    #5 Crabtownboy, Mar 8, 2012
    Last edited by a moderator: Mar 8, 2012
  6. glfredrick

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    I think that Rush has THE largest lotal audience in all of radio and the one who disses Rush will find all those who came to them on his recommendation also leaving when he no longer does.
     
  7. mandym

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    No worries mate.
     
  8. InTheLight

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    Carbonite stock has fallen 12% since Monday. Carbonite's marketing strategy was heavily into advertising on talk radio programs, with Rush's show being their main thrust. I think the dip of this week is certainly because of pulling ads from Rush's show while the long term decline is just as you say.
     
  9. InTheLight

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    So customers that bought Sleep Number beds are going to abandon them, they're going to drop their Allstate insurance policies, yank out their Thompson Creek windows, quit using Netflix, drop Quicken loans and refinance their homes elsewhere, and cancel their pre-paid Legal Zoom contracts ALL because Rush will no longer be shilling these products?
     
  10. glfredrick

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    That is generally the way things work...

    Diss someone who people love and respect that has a voice as large as Rush and discover that the consumer has buying power and also witholding power.

    All of the companies may not see similar losses, that is for the consumer to decide, but I, as an advertising agency representing an important client would SURELY not want to tick off an audience the size of Rush's.

    And more, those companies REACTED according to politically correct tenets, which Rush's audience recognizes. Now they all get to discover if their PC directive helps their CAPITALISTIC endeavors or not. My guess is that they will need to scramble to discover other CAPITALISTIC market supporters and fast! After all, the PC crowd that they bowed down to is also ANTI-CAPITALISM and generally supports the Occupy Wall Street movement, which is anti-big-business in nature. Hope it works out for them...

    Oh, and I HAVE a sleep number bed. Not because Rush peddled it -- bought it before he started marketing for them -- and no, I'll not get rid of it. But, if I was paying a subscription to Carbonite and Mozy was right around the corner, I might be tempted to switch.
     
  11. InTheLight

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    These companies responded to potential market forces, not PC reasons. These companies are not bowing down to the PC crowd or Anti-Capitalists, or the Occupy Wall Street people. They are abandoning a loud-mouthed ego-maniac that routinely puts down women. I guess they figured the sl*t and prost!tute comments were the last straw.

    Put down the Rush Kool-Aid. He's not the only reason these companies are in business.
     
  12. billwald

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    If I was planning to do on line banking and bill paying I would buy a cheap computer and ONLY use it for banking and bill paying and other financial stuff. The cost would be deductible. It would be almost 100% safe and easy to back-up.
     
  13. glfredrick

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    I have a VERY shocking revelation for ya...

    Your BANKER and ALL his staff, most of whom are local home-town girls without a lot of additional education, ALL use regular PCs with all sorts of connections to the outside world to do your banking business AT THE BANK. :laugh:

    You can worry your patotie off about being "safe" at home but your money isn't at home. It's at the bank where they are all using PCs on every desk. :thumbs:
     
  14. billwald

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    Thanks. Something to think about.
     

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