WR Hambrecht Keeps Buy on TiVo

Analyst Ryan Hutchinson says digital-video recorder maker can expand into new markets like advertising

WR Hambrecht reiterated its buy ranking on TiVo (TIVO ).

Analyst Ryan Hutchinson says the first quarter beat his estimates. He says solid performance offered further evidence that the company continues to gain traction in the digital-video recorder marketplace, and remains well positioned to expand into new markets, including advertising, content services, and home-networking services. He's encouraged by the company's continued strong operational performance and aggressive new growth strategy.

Based on guidance, Hutchinson raised the second-quarter estimates to a 24 cents loss on revenues of $26 million, and he sees 300,000 subscriber additions during the second quarter. He now sees a 97 cents fiscal 2005 (Jan.) loss on $116 million in revenues, and 1.7 million in subscriber additions.

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