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Technology Stocks : AVCI

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To: CrackerJack48 who started this subject8/1/2001 4:22:33 PM
From: Oeconomicus   of 190
 
Positive mention in the new (8/15) issue of Red Herring. Page 73 in the print edition, titled "Architecturally Impaired - The old giants are no longer the kings of the core."

Described Avici as "leading the charge" in the attack on Cisco and Juniper's market share.

Also quoted a report projecting market growth from $4.5 billion this year to $18 billion in 2004.

My interest peaked, I decided to buy in today. Got it at $4.45.

Am I missing something? The current valuation is about $225 million, cash is $167 million, and revenues are running at about $85 million a year (annualized Q2) and growing rapidly.Other than the now typical law suits and likely margin call selling, is there any good reason for this company to be valued so low?

TIA,
Bob
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