A Big BANG(band) miss with few lessons for us all
WOW! Was all I could say once the headlines scrolled across the newswire. This was a monumental miss, or a Big Bang kinda miss by BigBand Networks (BBND). It does not get uglier then this. BBND expects revenues to be in the range of $35-$39m vs. expectations of $56m. Company gave a list of excuses for the miss (obviously you can enjoy reading the list in the release). The lessons to learn from this miss is that one-trick ponies that compete in this vigorously competitive market are not for faint-hearted, customer concentration issues are rarely a one-quarter issue and at the end of the day customers could care less for their vendors stock performance. BBND had weak results last quarter as well even though they blamed it on lawsuit expenses last time. But with 5 customers accounting for 73% of revenues last quarter, and two accounting for most of that 73% its a precarious situation. BBND has the technology lead at one time but as development of market/deployments has been slower than expected and as competitors catch up the realities of running a business overrule any technological advantage and as always economics wins over "neat"-technology.
I do feel sorry for John Anthony over at Cowen & Co on of Wall Street's Finest as Jeff Matthews likes to call them- three of his most favorite names include BBND (the other two haven't done much for investors either- PLCM and OPTM).
posted by Slash at 9:45 PM
9 Comments:
Glad to have you back in action bro.
wow thats a pretty big difference , they probably had to lay off a lot of people too
Hello friends for more regarding share market information please visit here:- Word Market
Lessons are really meant for to learn in the hard way?
I think the things you covered through the post are quiet impressive, good job and great efforts. I found it very interesting and enjoyed reading all of it…keep it up, lovely job.
Nice topic.
Interesting information given in this blog. Epic Research gives technical and fundamental report, which is beneficial for traders, they can invest properly in the market.
Very, very nice. Article Blog
Call drivers in chennai
Drivers in chennai
Need drivers in chennai
Car drivers in chennai
Drivers for hire in chennai
Ways & Works Consulting is an ISO 9001:2015 certified HR Consulting Firm, Manpower Recruitment and Practical Training firm career with an aim to provide value aided service to employers Best recruitment agencies industry we serve . with an in-depth understanding of their requirements. We are working as a perfect bridge between the employer and employee to fulfil their needs by placing the best suitable at place.
Post a Comment
<< Home