Why Is DISH in Orbit Today? (DISH) (http://msn.fool.com/investing/general/2009/08/10/why-is-dish-in-orbit-today.aspx?logvisit=y&source=eedmsnlnk0010001&published=2009-08-10)




Still, if you wanted to invest in a broadcaster today, DISH wouldn't be it. In the immediate family, EchoStar's high-margin business model looks far more attractive. And DirecTV is beating DISH in the satellite arena with another fat-margin strategy that leaves mere table scraps for DISH. Don't forget Verizon (NYSE: VZ (http://caps.fool.com/Ticker/VZ.aspx?source=isssitthv0000001)), either. The FiOS TV service is just learning to crawl and has a lot of growing up to do.


I also did not realize D* had 24 million subs. They must be doing something right:p

BOOOOOOOOOOOO!!!!!!!!!!! http://www.clipartof.com/images/thumbnail/1213.gif (http://www.clipartof.com/details/emoticon/1213.html)

Haha, well the difference in subs is more than I thought.
I knew E* was shedding them for a while, and D* was gaining them, but I had no idea that D* had that many. I thought they were still under 20 million.

Big difference for two companies going after the same subs.
Am I right?

Haha, well the difference in subs is more than I thought.
I knew E* was shedding them for a while, and D* was gaining them, but I had no idea that D* had that many. I thought they were still under 20 million.

Big difference for two companies going after the same subs.
Am I right?
yes sir!!!!! took the words out of my mouth

Doesn't Direct include their subs in Latin America to come up with 24 million? I saw some number of 18 million. Still more than Dish.

Doesn't Direct include their subs in Latin America to come up with 24 million?

Yes.

They might, but I see no reason for them not to be able to.

I think that the point is that the numbers are not directly comparable if one is US only and one includes the latin American subs. Still i am sure DirecTv has a significant overall lead.

First of all, the comment is about investing, not subscribing.

So, if you are an investor, the investment perspectus is far more important. Let me spout off my personal strategy for a minute-

Considering both DTV and Dish, let's exclude Echostar for now, Neither offer a dividend on any regular basis, therefore to invest in these sort of stocks for the long haul is a bit foolish. You only invest in either of these stocks to realize profit from short term gains. This means that you want to look at the stock from a swing percentage angle as opposed to long term growth. If you are interested in investing in a company in communications with long term growth numbers, avoid both of these and go with something like AT&T or Verizon. Why? They pay nice steady dividends in the 6%+ range. (Compare to today's CD's at < 2% or savings account with liquidity at 0.2% ) Every 3 months you will see a boost to your account that will be far better than your savings account and you can invest those dividends back into more stock purchase for a steady growth that far exceeds the savings account or CD's. In addition, large companies like AT&T and Verizon, have held their dividend payouts through the recessions, including the most recent one. If you are looking at the cost, both AT&T and Verizon offer cost per share that is similar to DirecTV and a bit higher than Dish. These stocks offer a better place for your money than either of the satellite companies for the long term "stash it and forget it" type investor.
But what if you are more aggressive and wish to make some better return than 6% from those dividends? Then you look for stocks that have some good movement, IN this case I place Dish Network on top of the 4some list I have here. Personally, I have bought and sold 200-300 shares at a clip of both DirecTV and Dish Network in the past 12 months and I can say that just because the DishNetwork has had some serious movement with a low, down around $9 a share for me to over $22 a share that some nice profit can be had BUT you have to work it. DirecTV is next and I have done about half as good with DirecTV as with Dish but that was due to the fact that DirecTV is more stable a stock. It moves about like AT&T but doesn't pay you anything until you sell. That does not make it a good investment for either long term or short term. If you are in it for short term, my vote goes to DishNetwork for a better ROI if you're careful on when you buy and when you sell but for the long term it's AT&T with Verizon as a close second. IMO, DirecTV ties up my working cash too long for too little return. Sorry, but investing is different than programming. :)

Not an investor but do know a few numbers to quickly look at. If we agree with Don that DISH, Echostar and DirecTV are all short-term investment, then how about the YTD stock gain/loss numbers:

Echostar +36%
DISH +44%
DirecTV –12%

I am in no way trying to predict any trend or make any suggestions, just throwing out a few real numbers:)

I guess that proves Don's point, investment is not the same as subscription.

While the growth % does look impressive vs. DTV. one must never forget it is meaningless until you sell. Granted, Dish will net you a nice profit if you got in at the bottom and sold at that 44% but then you're out! To get back in the game, you'll be going in at the higher price anyway, unless you wait until it falls again. Repeating, the only return on your investment is to sell high.
Other stocks, that pay dividends, are much better for long haul since they may achieve that type of growth, but also pay a dividend that can be reinvested in more stock achieving a dolor cost averaging growth in addition to the value growth upon selling some day. This would have income along the way while Dish must be bought and sold at the right time to realize anything.