TiVo shares up 30% since July, Ditching the DISH

TiVo Inc. (NASDAQ:TIVO) has almost gained back one-third of its value since July 6th, rocketing from $6.99 to today's closing price of $9.11 and that trend is likely to continue but the same does not hold true for DISH Network (NASDAQ:DISH)

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Since July 6th, TiVo shares have rallied 31% and have traded between $6.92 and $18.93 over the past 12 months.  TiVo had a big day today, its stock ran up 7.1%, closing at $9.11 on hope that the company's patent technology holds up against DISH Network (NASDAQ:DISH).  DISH shares are down 12.5% since June 15th and today closed at $18.60.  MySmarTrend.com pointed out today that TiVo's call volume was 26,817 contracts, which is 10x the average daily volume of 2,727. Usually high call volume is an indicator that many investors are looking for higher prices in the near future.

TiVo won a key ruling against Dish in early 2010. Dish then asked the entire bench of the federal circuit court to review the decision. The court has now scheduled a hearing for November 2010, suggesting that the patent saga might be nearing an end.

If Dish Network loses the TiVo case it could be forced to shut down its DVR business, or else replace all its existing DVRs with alternative technology. Alternatively, it might wind up paying licensing fees to TiVo.

SOURCES: http://www.mysmartrend.com/news-briefs/news-watch/traders-ride-bull-tivo-call-volume-surges-tivo-1
http://seekingalpha.com/article/224933-what-if-dish-loses-to-tivo-in-patent-dispute