A 60 percent plunge in HTC Corp.’s stock this year pushed its
market value to below its cash on hand. That means investors were
effectively saying the smartphone maker’s brand, factories and
buildings were worthless.
HTC’s market price fell Monday to NT$47 billion ($1.5 billion),
below the NT$47.2 billion cash it had at the end of June. A drop
of as much as 9.8 percent in its stock before a late rally
signaled investors put no value on the rest of the company. […]
HTC’s fall from a market capitalization of more than NT$900
billion in 2011 charts the perils of a product and marketing
strategy that’s failed in the face of stiffer competition from
Samsung Electronics Co. and Huawei Technologies Co. Once the
best-selling brand in the U.S., the failure of its One, Butterfly
and Desire smartphones to drive sales has pushed HTC outside a
global top-10 now dominated by Chinese brands.