SONS Message Board - Msg: 20956152

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : SONS

SONS 7.830

+2.8%

Nov 28 4:00 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Home-Run who wrote (213)	1/17/2005 12:11:28 AM
From: Home-Run	of 1575

ThinkEquity 14-Jan Report on Sonus Time Warner Telecom Accelerates VoIP Deployment with Sonus Gear We remain comfortable with our Q4 estimates and believe the large purchase order Sonus received from Time Warner Telecom in the December quarter will most likely show up on the company's Q4 balance sheet as deferred revenues. Time Warner has been a long standing SONS customer, but has finally started accelerating deployment of its SONS based network and will be rolling out VoIP services to 25-30 additional markets throughout 2005. We believe SONS represents one of the best ways to play the rapidly growing VoIP space and we believe the company's pure-play VoIP exposure deserves a premium valuation over other equipment vendors. We are reiterating our Buy rating and $9 price target on SONS shares. Fiscal Year Dec F04E F05E F06E 3Q04A 4Q04E 4Q03A Revenue(Current $) Revenue(Previous $) $175.65 $175.65 $236.23 $236.23 $311.16 $311.16 $46.76 $46.76 $50.00 $50.00 -- -- EPS(Current $) EPS(Previous $) $0.11 $0.11 $0.17 $0.17 $0.28 $0.28 $0.04 $0.04 $0.02 $0.02 -- -- P/S(Current) P/E(Current) 7.7 56.3 5.8 36.4 4.4 22.1 ?br>?br>?br>?br>?br>?br>SONS Lands Time Warner Telecom Order - We believe SONS received a $15-$20 million purchase order from Time Warner Telecom in Q4. The order will most likely result in revenues during early 2005, but should show up on the balance sheet as deferred revenues when SONS reports Q4 results. Deployment Plans - Time Warner has a 3 phase deployment plan and will offer VoIP services in 25-30 additional markets by year end. We believe this build out will also benefit Sylantro (hosted IP telephony), Kagoor (session border controllers), and IP Unity (unified messaging and email). Sonus Announces New CFO - Sonus has appointed a long awaited CFO. Ellen Richstone has joined Sonus as CFO and will be reporting to Sonus' president and COO, Bert Notini. Samsung Partnership Strengthens Wireless Initiative - Sonus announced a strategic reseller relationship with Samsung earlier this week. This partnership is similar to the Motorola announcement and should help Sonus penetrate wireless service providers by leveraging Motorola and Samsung's relationships in this space. Investment Conclusion - We are reiterating our Buy rating and $9 price target on SONS shares. Our price target represents a 30x multiple applied to our 2006 operating income assumption plus cash. We believe a 30x multiple could prove to be conservative given our expectations for 30%+ revenue growth and the high degree of leverage in the SONS model. - from yhoo board finance.messages.yahoo.com

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next