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Technology Stocks : SONS
SONS 7.830+2.8%Nov 28 4:00 PM EST

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From: Cooters3/30/2006 2:37:37 PM
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S&P upgrade to Buy from Hold

Supported by strong bookings growth and an increasing deferred revenue balance, we see 2006 as an
inflection point for sales growth.We view SONS's '06 sales growth target of at least 25%, in line with the
VoIP (Voice over Internet Protocol) equipment end-market, as readily achievable.We also view SONS as
an attractive takeover candidate, given its strong market position in next-generation networking. Based on
P/E-to-growth metrics revised to reflect our view of an improving operating outlook, we are raising our
12-month target price by $1 to $6.50.
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