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Technology Stocks : F5 Networks, Inc. (FFIV) -- Ignore unavailable to you. Want to Upgrade?

To: Johnny Canuck who wrote (693)	3/23/2000 1:53:00 AM
From: Rarebird	Respond to of 1801

As you probably know, F5 is the industry leader in the market segment of High-Availability, High Performance. By combining hardware and sophisticated software-based algorithms, F5 has developed a product line that can optimize both availability and performance. Further, its strategy is to lead the market in its space by developing products and partnerships that take advantage of increasing convergence of server and network technologies. FFIV fundamentals are extremely strong. It is showing strong sales growth, customer growth and profitability, which is being driven by sustained worldwide growth of B2B Internet communications and e-commerce. I think FFIV is well positioned to benefit from the enormous growth in e-commerce. The most recent wins with Cable & Wireless and the biggest IP in China demonstrate that. FFIV came public, as I'm sure your aware, in June 99. The 09/99 earnings came in 64% better than expectations and the 12/99 earnings came in 257% better than expectations. There are only 5 analysts who cover FFIV and they seem to think that FFIV will grow at a 50% annual rate over the next 5 five years. I think that is way to conservative. I see growth in the 75% -80% range at least. The deal with Cable and Wireless is huge and not factored in here, along with FFIV's win in China. I expect sales growth to quadruple by this time next year. Based on where the other stocks in FFIV's sector are trading, fair value for FFIV is $200 for this year and $300 in 2001. This is a dynamic growth company that very few people understand yet.