Wednesday, May 27, 2015

Seeking Alpha: Cavium Networks Has The Right Exposures, But It's Priced Like It

Cavium (NASDAQ:CAVM) doesn't lack for ambition, as it is taking aim at Intel (NASDAQ:INTC), Broadcom (NASDAQ:BRCM), and Freescale (NYSE:FSL) (which is being acquired by NXP Semiconductors (NASDAQ:NXPI)) across a wide range of markets. On the plus side, the company's chips offer strong performance characteristics and look well-placed to exploit growing markets like base stations, cloud, and SDN. On the negative side, the stock's 40%-plus performance since my last article has mopped up the undervaluation I saw in the shares and the trade-off between expectations and valuation is less compelling.

Read more here:
Cavium Networks Has The Right Exposures, But It's Priced Like It

No comments: