SAVVIS, Inc. (SVVS)

There is less momentum, less volume, and less buying going on. We are in the last part of this rally.

The 1929-1930 equity rally (coming out of The Great Depression) lasted 147 days and the market was up 46%. It has been the same amount of time since the March, 2009 low and we are up about the same percentage. It’s déjà vu (paramnesia), so prepare for a drop of about the same percentage (85%).

guru short

Christophers Williams (5) filter

trading at 52-week low and the rumors of a buyout a few months ago can only be compounded by this price. many of their outsourcing data centers are full; falling bandwidth prices aren't helping them though.

test

I have watched this company for years. It pulls back when the market is down and goes back up continuously to double or triple in price, usually over several months.

Sometimes the price is just to appealing.

I couldn't pass this one up.

revenues will grow as internet grows, should show up in earnings, should push up the price....

Great stock.

The new Savvis management has been concentrating its business model, retiring debt and investing in the future. Contrary to Morgan Stanley's short term view that business isn't going to want to buy Savvis' product because they're "shoring up" their beleaguered bottom lines, Savvis' services reduce a subscribing business' cost of I.T.. As the next business cycle rolls around, I believe this company will be in a good position to reap the rewards of their planning. I'm surprised at the short-sightedness of CAPS and Motley contributers inciting investers to run for the exits--"The worst stock-- I thought you guys scorned that sort of thing.

I purchased some at .90 and an additional block at 1.20 prior to the reverse stock split. There have been some downs, but mostly ups. It's Int'l connectivity is one of the best in the market. I expect it to land and stabilize somewhere between 50 and 75 per share.

IP VPN is the future of IT.

good value

Infrastructure!

I bought oit at 26,00 and sold at 32,00 but it will climb at 48,00

SAVVIS is a global information technology (IT) services company offering enterprise applications, with operations spread across the North America, Europe, and Asia. It derives bulk of its revenue from recurring revenue streams, consisting primarily of hosting, managed IP VPN, other network services, and digital content services.

The company’s bottom-line has been consistently affected by competitive pricing environment. Prices of certain telecommunications services have fallen drastically over the past several years. However, strategically moving the company has parted off CDN services in January 2007, its loss making division, which would bring the much-needed respite for the company, enabling them to focus on their core hosting and managed IP VPN services.

The proceeds from sell off of CDN services would be invested in developing four new data centers. This will help them to cope up with the ever increasing customer demand, as the new data centers will increase their footprint in U.S. by more than 10% as such they would be in a better position to deliver hosting, network and security services.

SAVVIS along with Cisco is set to deploy next-generation Internet Protocol (IP) network, which would enhance SAVVIS’ global application infrastructure and its ability to deliver IT-Infrastructure-as-a-Service that would help them to fulfill the unique needs of individual applications.

The company saw a top-line growth of 14.5% for 2006 as a result of strong growth in hosting services. Its scalable business model and ongoing cost-optimization efforts are being reflected in the form of improved gross margin in 2006. Moreover, all these improvements has boosted the management confidence and now it expects fiscal 2007 revenue to around $815-$835 million. Concentration on core competencies and restored management confidence should make the stock more attractive to the investors.

I have watched the share price of this company for all most a year now all it has done is go up and up. It is a small cap technology company which allows people to communicate on the internet kind of like a telephone system only using a computer instead. This company has much potential to see its share price surge ahead in the coming months and years.

They are in a sweet spot in the IP bandwidth market, it's only a matter of time