Riverbed Technology, Inc. (RVBD)

I recently attended training on the company's Steelhead product and was quite impressed by how it performs. They have quite an appliance, which is scalable to difference size WANs.

From UltraLong's blog.

See 00100 pitch.

testing top 12 1yr gainers

This is a great buy...

at $2.00/share

Solid product line, beating the competion head-to-head, cost saving for corporations who will reduce IT spending during the recession.

Riverbed makes premium appliances that improve the efficiency of wide-area distributed computing, which is a growth market. The company cannot compete head-to-head with Cisco, but it can snap up rich niche markets with its premium product portfolio (e.g., Steelhead), and continue to increase its brand awareness and brand premium. Why do I keep emphasizing premium, premium, premium: the reason RVBD cannot compete with directly Cisco is simply scale of operations. However, RVBD can develop niche products that provide high margins, and the net margins can be reinvested into further development of more products and strategies. Neat. Meanwhile, there are probably companies that are looking to acquire a company like Riverbed before it gets expensive again... the brand and product line has been successfully developed, and with a PEG ratio of 0.95...I like that Riverbed!

Not quite bottomed yet but should move up to high teens

BEST of BREED in the explosively growing WAAS space, new storage products and targetted ads to increase the tail winds. Accelerated revenue growth coupled with increasing cash flows to reduce any downside risk while increasing the upside potential. Look at past tech winners like Dell, Intel that had hiccups in the initial growth years, but have proved to be huge winners for those who persisted.

Hit Bottom, could be takeover target

leader in a strong market

While the tech sector continues to improve this beaten up stock should start to recover.

rvbd

TJC

Riverbed has taken some big hits this week for rumor and little reason, I feel it will rebound to $14 - $15 in the next few weeks and get back some of those big hits.

Riverbed is a solid company, profitable. Unnecessarily getting beatun up with the market. Did reduce earnings but still in the positive.

growth company even in a down market

Demand will not decrease and takeover at a premium by a technological giant is always an enticing possibility.

Back to IPO price on the first day