Fool's article on Network Appliance and EMC...
From a fundamental business point of view that the Rule Maker criteria uses, I think it is important to point out some of the companies that we follow on the G&K index as well as the W&W index which satisfy the criteria. I continue to feel this is an important way to view management's performance in addition to the gorilla game criteria we adhere to for investment decisions.
In the storage arena, Network Appliance and Brocade Communications pass the metrics, but are under the $1 Billion in annual revenue mark. EMC is over the revenue mark, but the Foolish Flow ratio has not yet achieved the 1.25 or better mark yet. However, it has been on an improving trend. This is always a good sign. All three companies involved in this data storage/movement industry have solid fundamentals.
Cisco, Intel, Siebel, Oracle, JDS Uniphase (improving Foolish Flow ratio just like EMC) and i2 all pass the metrics as well and one more quarter should put i2 over the $1 Billion annual revenue mark just as Siebel crossed it not too long ago. Of course, Microsoft has passed in all the previous quarters, but failed the revenue growth of at least 10% this most recent quarter y/y. Obviously this bears watching going forward, but no need to rush to the exits yet for those still holding. Over on the Godzilla board, star Yahoo! has better fundamental metrics than any of the gorillas and candidates due to its very light business model. That's a an element of surprise for many when the first view it, but Tekboy has a handle on the numbers for you and has made it known he is selling everything else and investing only in Yahoo! from now on. <ggg>
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