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Technology Stocks : Sumtotal(SUMT).Could Add Up To a Nice Stock Profit!!

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To: Arthur Radley who wrote (24)10/1/2006 11:29:13 AM
From: Arthur Radley  Read Replies (1) of 31
 
Briefing note: on SUMT
SUMT SumTotal: Untapped SMB opportunity - Maxim (7.17 )

Maxim says following meetings with SUMT CFO, they continue to believe that the company is well positioned to capitalize on a number of growth opportunities in the HCM sector. We recommend that investors accumulate SUMT shares ahead of its 3Q06 release and would be particularly aggressive on any pullback in the co's stock price, particularly in light of the run-up in SUMT shares in yesterday's trading. Firm expects SUMT to have greater success penetrating the SMB market. While it is firm's understanding that SUMT plans to support Pathlore into 2008, they believe that many of the Pathlore clients could upgrade to the 7.x product suite. Firm believes the ResultsonDemand offering is attractive to SMBs, which generally have tighter IT budgets and are less willing to make significant upfront investments relative to their large enterprise counterparts. Firm believes that SUMT is well positioned to upsell the co's performance mgmt application to its installed base. Firm says research suggests that performance mgmt is projected to be the fastest growing segment of the HCM sector, as cos increasingly seek to integrate performance mgmt applications with other HCM initiatives such as recruiting, training, and compensation.
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