Invest in Quality With Brewing Multimedia
There has been some feet-on-the-street criticism that Nokia is merely fighting a losing battle by attempting to challenge Apple’s [AAPL] fantastically successful iPod mobile digital music device with its release of such products as its new 6230i wireless telephone unit, which includes a 1.3-megapixel camera and stereo music player. But I find that criticism fallacious. Apple is specializing in portable music with visual images downloading tossed in at times. Nokia is marketing portable multimedia capabilities.
I would give all benefit of the doubt to the world’s largest mobile phone maker-that would be Nokia, not Apple. Although a Nokia executive has said, “Music is the next big thing in mobile multimedia,” that does not mean that a Finnish mobile phone and an American digital music device are meant to be targeting the market in the same way. Are you aware of the rise of broadband internet radio? Nokia’s taking an analogously “broad” approach with its portable devices.
Another thing that got the streetwise doing the Wall Street Snuffle about Nokia’s approach is the fact that it has partnered with Apple dicer Microsoft [MS] for the development of its “new age” 3G technology driving all this. Here goes Spy vs. Spy-er, I mean, Bill vs. Paul-again. But this time, Paul’s got the upper hand, right? Not so to these eyes. Microsoft is ever-ready to pounce on a great marketing idea (sometimes to the initial detriment of its product, as we all know). Nokia has one. Oh, no, Mr. Bill’s there! Well, isn’t he everywhere?
Nokia is a dividend-paying company with strong cash flow and well-established expertise in its industry. It’s boldly heading into the “new age”. If you have it, hold it. If you don’t have it, strongly consider buying it and putting it away in your desk drawer for the next decade.
After a hard day’s investing in Nokia, late afternoon and happy hour arrive at last. And there’s nothing likeâÂ?¦
âÂ?¦a cold Sam, if one is a beer drinker. Okay, that’s a starkly subjective statement-but it’s true! And you don’t see the Boston Beer Company [SAM] tainting its fine-tasting beverages with caffeine like a certain big-name brewery. It just keeps turning out the delicious seasonal specials like its “White Ale” (made with Noble Tettnang Tettnanger hops), its wheat-based “Summer Ale” (made with a rare African spice first used in brewing in the 13th Century), its “Oktoberfest” (my favorite), and its “Winterfest” (which includes cinnamon, ginger, and orange peel) among others and alongside its flagship “Boston Lager”. In 2001, the Boston Beer Co. unveiled its “Utopia Beers”. Not only do these limited-edition brewskies come with a flavor unlike that of any other major beer, but in addition they pack a wallop-a Guinness Book of World Records wallop, with one of the four utopian formulae containing 25% alcohol (sure blows away those “strong” Canadian beers that I thought were such great buzz-saws. Eh, hoser?).
Boston Beer Company is a niche business with an intense focus on quality and a strong commercial appeal-call it the country’s most major microbrewery. The microbrewery with the most savvy, too: In the last few months of 2004, the company laid out the buckage to take its television advertising to another level. Said Jim Koch, the company’s chairman and founder: “The Company has developed new advertising creative for both ‘Sam Adams Light’ and ‘Samuel Adams Boston Lager’, which is expected to air nationally in September through the end of this year. The company believes that the new television advertising will have a positive impact on our long-term results and as a result we intend to increase spending to fund both campaigns.” Now that’s some long-term wisdom.
Indeed, looking at the long(er) range history, if you bought shares in the revolutionary Sam back in the year 2000 for six or eight dollars apiece, their value has steadily and solidly trended upward since then and they’re now worth close to $25 apiece. This former financial advisor feels that the company is doing the right things to further that continued steady, upward mobility in its market cap, especially with the microbrewery industry eating away at the business of the big money brewers. Contrarian investors should look to investing long-term in America’s best brew. (Okay, okay, so that’s subjective. So what?)
