Jim,
Are you still in RBAK. I am not sure I buy this price target of 758.
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SAN FRANCISCO, March 9 /PRNewswire/ -- The following is being issued by First Security Van
Kasper, a member of the National Association of Securities Dealers, CRD number 7665:
Chester White, Networking/Communications analyst at FS Van Kasper, has raised his 18-month price
target on Redback Networks, Inc. (Nasdaq: RBAK - news; $328) to $758 from $270.
Below are direct quotations from Chester White's research report:
"Yesterday, Redback announced the closing of its merger with
Siara Systems for a purchase of 62.6 million shares.
"The Redback/Siara combination is the first of the "NextGen" vendors to
gain expertise in optical switching, ASIC design, routing and
"value-added" services software.
"We believe that the 60-80% cost savings in provisioning and equipment,
90% space savings and increased end-to-end functionality of a single
solution, position Redback ahead of the next technology transition in
the New Access markets and establish the company as the dominant
"NextGen" access vendor.
"Applying 158x PSR (equivalent to the 2001 revenue growth rate of 158%)
to the increased FY01 sales we are derive an increased 18 month price
target $758 per share.
"We reiterate our Strong Buy rating on Redback Networks, Inc. and
increase our price target to $758 per share."
First Security Van Kasper makes a market in the shares of Redback Networks, Inc. |
