This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Kodak in Focus: Patents to Pay Off?

ROCHESTER, N.Y. ( TheStreet) -- Eastman Kodak's (EK) shares eased back Tuesday morning after spiking late Monday as the film company has been marketing its trove of patents, a sale of which could prove quite lucrative.

Reports surfaced last month that Kodak was working to sell off its patents. Kodak has struggled to gain momentum in its digital camera business as its printing business flailed, but its digital-imaging patents could be worth far more than the 131-year-old camera company itself, fetching as much as $3 billion, according to some analysts.

CEO Antonio Perez said in late August that Kodak was in talks with potential buyers, and had signed confidentiality agreements with possible bidders for at least 1,000 Kodak patents.


"This has helped investors feel more comfortable with the name in that they know at least one of the two avenues the company is seeking for cash may pay out," Janney Montgomery Scott analyst Jody Lurie told Bloomberg. "Investors have been scared about the company's cash levels, and as a result, any sort of good news that comes out about the company has improved investors' fears."

Kodak shares spiked in late-day trading Monday, but were 4.9% lower at $2.90 early Tuesday morning.

If Kodak is able to sell its patents, and get as much as $3 billion for them, it would buy the company time to give its inkjet printer business a much-needed boost, according to Gimme Credit analyst David Novosel.

Kodak has been putting more of an emphasis on its printer business lately, picking up market share from Hewlett-Packard (HP - Get Report) and Canon (CAJ - Get Report) along the way, attracting consumers with more printing features and less-expensive ink.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $124.43 -1.54%
CAJ $35.37 -1.01%
GOOG $548.00 -0.73%
HP $68.07 -0.96%
MMI $37.48 1.05%

Markets

DOW 17,776.12 -200.19 -1.11%
S&P 500 2,067.89 -18.35 -0.88%
NASDAQ 4,900.8850 -46.5560 -0.94%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs