It's a big world out there, and keeping up with the local needs and
demands of customers is an increasingly significant part of growing
global sales. To that end, maybe it goes without saying that the
translation and product localization services offered by Lionbridge Technologies (LIOX)
are certainly necessary. Likewise, the company's development and
testing services allow companies to more efficiently test and improve
their mobile, web, and software releases prior to full commercial
launch.
That all sounds fine, and Lionbridge boasts some major customers like Microsoft (MSFT), Nokia (NOK), and Google (GOOG).
Unfortunately, the company hasn't been able to really carve out a
lucrative niche for these services, and the company's revenue growth,
margins, and returns on capital have been unimpressive for some time
now. Although I do think there is significant untapped potential in this
business, investing in the shares today requires a certain degree of
faith that management will figure out the right combination to unlock
that potential.
Please read more here:
Lionbridge Still Not Living Up To Its Potential
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