Oplink Communications, Inc. (OPLK)

The stock is up 34% despite these awful #s: Price/Cash Flow = -54.8 Rev. Gwth. (Last vs. Prior TTM) = -15.6% Profit Margin = -10.0% Ret. on Invest. (TTM) = -6.4% Current
Ratio = 11.1. They are going to end up hurting for cash in this slow economy.

what price is right for this one? could be now, but for sure below 8 is a good price

Easy DBL to triple within a year or two. Best run company in a soso industry.

Good news and good MA views $10 could be a bottom that could gain another $5-8

market reaction overdone; excellent fundamental data - sells for 1.5 times cash ; P/B = 0.75 ; P/S = 1.10 ; generates positive FCF

I'll jump on board after the big plunge. Downgrades are bad, but I think this is an overreaction.

Cheap and hi growth

Making Oplink Communications a pick based on the immense value this is presenting. Trading at 0.99 times book value and 9 times forward earnings estimates I think we are getting very near a bottom. Oplink is growing revenues at over 80% this year and a solid 15-20% in 2009 and they sport a boatload of cash on hand, just shy of $8 per share to be exact with zero debt. Once again, this is a company that has buyback or buyout written all over it. That cash will buoy the stock against much further downside as long as they remain profitable and brokerages have begun the process of upgrading OPLK due to their valuation.

Nero

Sagetrade

the whole semiconductor area is going to contract during the recession that comes

Oplink has proven to be a contender in their market, and they are in position to make a major upwards swing in the next few years.

Company's doing well on its own and should grow faster with OCP acquisition. Reasonable valuation and improving margins. In all the right areas for growth in technology: metro transport telecom, enterprise storage and FTTX/PON. Addressable market growth.

This is a new Company I put on my list,because its in the right business for the times and has beaten earnings estimates many times,and is purchaseing up other Companies to go with its growth and improve its performance in the computer industry.It sure gets pops thumbs up.

Nice little company,No dought will be a major player in its field.

Going through a transition period but this stock clearly has a very good potential.

igc

Let's take a look at some numbers:

I see a PEG of .74 that's pretty attractive.

Trading at around $15 with a 12-month target estimate of $26, well, let's hope those analysts know what they're talking about!! That would be a greater than 70% price apreciation.

To reiterate, with a forward p/e of 15 and a 5 year annual growth rate of 20%, this company's stock looks to be a bargain.

Cash flow from operating activities this past 2 years is looking very good.

Insider holdings are at 22%. That's an extra gold star.

And one of my favorite fund managers and stock picker's Jim Oberweis holds some shares. Maybe I should just sell that darn Avanex and buy Oplink. Both look like good investments, but I am much better aquainted with Avanex, and it is a holding of mine.

Here's a piece of recent news not be ignored, however:

"Oplink Comms Needham & Co downgrades Buy to Hold. Needham downgrades OPLK to Hold from Buy saying their thesis prior to the acquisition of the OCP shares was that Oplink had successfully pursued a strategy of taking an unpopular product category-passive components-and had made it successful by moving manufacturing to China early on and driving share gains by investing where others had ceased and through taking market share from incumbents and smaller competitors. They believe the acquisition of the OCP shares unleashes heavy dilution as well as numerous integration and product portfolio modernization challenges over the next couple years."

I generally regard Needham's coverage on the optical industry to be very good.

fibre is flying and the sector is hot. PE 17 FPE 14 PEG under 1. 12% sequential growth.
Plenty of cash.

2 Qtrs of SFCF increases & conservative projections for growth in 2007

Lot of cash, low forward P/E, over 12% growth Q over Q. Tight cost control with positive cash flow.