matt diehl thursday december 8, 2011. business overview high-performance networking company sells...
TRANSCRIPT
Matt DiehlThursday December 8, 2011
Business Overview
• High-performance networking company• Sells products and services that provide
network infrastructure• Routing and switching products• Protect the network, enhance bandwidth, and
speeds up applications
Fundamentals
Fundamentals
SWOT (Strengths)
• Gained market share largely at the expense of Cisco
• One of the few financially healthy telecom vendors
• Strong growth and new technology over the next few years
SWOT (Threats)
• Competition with Cisco• Asian vendors• Alcatel-Lucent (ALU), Huawei• Riverbed Technology (RVBD)
SWOT (Weaknesses)
• Weak carrier demand• Macroeconomic issues• If new products don’t sell
Fair Value
• Current Price: $21.31• 52 Week Range: $16.67-$45.01• Fair Value: $30.00• Consider Buy: $21.00• Consider Sell: $40.50• 4 star Morningstar rating
YTD Chart
Checklist
Recommendation
• Buy• 100 shares• Take advantage of beat down of price• Price under the fair value and at the buying
recommendation