Use access key #2 to skip to page content.
$8.95 0.04 (0.45%)
11/21/2008 4:00 PM

Cavium Networks, Inc. (CAVM)

CAPS Rating:
***

Provider of highly integrated semiconductor processors that enable intelligent networking, communications and security applications.

Rating a stock in CAPS consists of three components:

Your call - Will this stock outperform or underperform the S&P 500? Successful picks are measured in terms of whether or not you were correct and by how many percentage points.

Your time frame - A guideline for other members to see whether your thinking is short or long-term. Time frame is also used to calculate the stock rating, but is not used in the scoring of your pick.

Your pitch - Here's your chance to offer more detailed thoughts, analysis, concerns, or the rationale behind your call. The pitch is optional and may be added later.

Each time you rate a stock, CAPS updates the community intelligence for the company, which may or may not change its CAPS rating. For more information, visit the Help tab at the top of the page.

You aren't currently rating CAVM

Add Stock to Watchlist

What the Community Thinks

Total Members

41 Outperforms
9 Underperforms
 

All-Stars

8 Outperforms
4 Underperforms
 

Wall Street

4 Outperforms
0 Underperforms
 

Members bullish on CAVM are also bullish on:

Members bearish on CAVM are also bearish on:

Ticker Tags

Micro Cap (5043), IPO in 2007 (232), Semiconductors and Semiconductor Equipment (186)
Suggest a tag

Cavium Networks, Inc. At A Glance

Current Price: $8.95
Last Trade Time: 11/21/2008 4:00 PM
Open: $9.05
Previous Close: $8.91
Daily Range: $8.18 - $9.11
52-Week Range: $8.34 - $26.83
Volume: 865,976
Market Cap: $363.80M
P/E Ratio: 40.50
Compare Our Special Broker Offers!

Stock Trends

CAVM VS S&P 500 (SPY)

News & Discussion Boards

Other News Headlines for CAVM

More Headlines...

Top Bull Pitch

There are no pitches that meet the Top Bull criteria. Explain

If this upsets you, start recommending pitches below!

Top Bear Pitch

Recs

0

Cavium Networks, Inc. (CAVM)

Avatar TechGooRoo (41.92) Submitted: 11/02/07 12:43 AM

Let's review some vital data:

- Market cap: $1.15B
- Revenue for the trailing 12 months is about $48M.

That's right, they're currently trading at 24x revenue. That's simply absurd. If some 800lb. hardware company wanted to buy Cavium, they'd almost certainly wait until i...More

Replies: 1 | Reply | Permalink

CAPS Members

picks per page. CHANGE

Results 1 - 5 of 7 :   1 2 Next »

Show Pitch Replies

Recs

0

 (CAVM)

Avatar ddebo44 (26.40) Submitted: 4/24/08 10:20 PM : Outperform Start Price: $21.40 CAVM Score: -12.57

The technology sector continues to be hot. This company deals overseas where emerging markets and upgrading continue.

Report this Post Replies: 0 | Reply | Permalink

Recs

0

 (CAVM)

Avatar TechGooRoo (41.92) Submitted: 11/02/07 12:43 AM : Underperform Start Price: $28.98 CAVM Score: 19.16

Let's review some vital data:

- Market cap: $1.15B
- Revenue for the trailing 12 months is about $48M.

That's right, they're currently trading at 24x revenue. That's simply absurd. If some 800lb. hardware company wanted to buy Cavium, they'd almost certainly wait until it dropped at least to the 10x range, unless it was a very strategic acquisition and there was competition.

Even if you assume similar revenue growth for the next quarter, to $16M, that's $54M for all of 2007, and still 21x revenue.

3rd quarter was the first quarter where Cavium was profitable. They made $186K of profit from product, the rest was from interest income on the $100M they received when they went public in May. That's $1.3M in interest income.

Given the Q3 net income of $1.31M, they'd have to double their net income for the next three quarters to gain a TTM P/E 58.

While Cavium looks like a fine company, the stock price is way inflated.

Report this Post Replies: 1 | Reply | Permalink

Recs

0

 (CAVM)

Avatar midas784 (90.63) Submitted: 7/26/07 1:23 AM : Underperform Start Price: $27.55 CAVM Score: 18.01

Another bloated pig - market cap of $1.3 billion and less than $40mil 2006 revenues... Pig Pig Pig !!!!

Report this Post Replies: 0 | Reply | Permalink

Recs

0

 (CAVM)

Avatar Kduser (62.80) Submitted: 7/19/07 3:40 PM : Outperform Start Price: $26.29 CAVM Score: -14.82

They have working IP.

Report this Post Replies: 0 | Reply | Permalink

Recs

0

 (CAVM)

Avatar farmerellis (95.94) Submitted: 7/12/07 12:32 AM : Underperform Start Price: $26.24 CAVM Score: 15.66

Its a long way down.

Report this Post Replies: 0 | Reply | Permalink

Results 1 - 5 of 7 :   1 2 Next »

Wall Street

Results 1 - 4 of 4  

picks per page. CHANGE

Top
Pick
Member NameMember RatingStart
Date
CallTime FrameStart
Price
Stock
Gain
S&P
Gain
ScorePitch
TrackMerrimanCo < 20 07/28/08 Outperform NS $17.06-47.54%-39.58%-7.96
TrackNeedham < 20 01/02/08 Outperform NS $24.06-62.80%-48.39%-14.41
TrackLehmanBros < 20 11/27/07 Outperform NS $25.00-64.20%-46.50%-17.70
TrackJMP < 20 06/11/07 Outperform NS $20.98-57.34%-49.76%-7.58

Results 1 - 4 of 4  

Beat this Stock

Clicking "Beat this Stock!" will bring you to a company with a higher rating than the one you're currently viewing.

Even though CAPS shows only one- to five-star rankings, behind the scenes, all companies in CAPS have a distinct numerical ranking. In other words, there is a No. 1 stock in CAPS and a worst-ranked stock in CAPS. When you arrive at the top-ranked stock, clicking "Beat this Stock!" will cause the page to refresh.

That is, until there is a new No. 1 stock!

These companies do not represent formal Motley Fool recommendations. Please do your own due diligence before investing. Fool on.

Featured Broker Partners

Sponsored Links