speculative

Sell - Price 7.17 on Dec. 2
by Morgan Joseph

Sierra intends to acquire Wavecom (WVCM) for $275 million in cash; expected close, 1Q09. Wavecom provides embedded wireless-chip solutions, selling into the automotive (40% of revenues) and security (50%) markets. While Wavecom's revenues have been declining dramatically the past two quarters -- the result of declining auto sales and macro environment -- the company sells into a high-growth area in wireless data. The deal makes sense for Sierra from a strategic point of view, but spending half of the company's cash is a hard pill for shareholders to swallow, in our view, given the present economic environment. We're reducing our target to 2.30, based on a 0.7 times multiple to our projected 2010 year-end cash position for Sierra of $3.27. The 0.7 times multiple is in line with the multiple at which Sierra competitor Novatel Wireless trades. Reiterating Sell. Market cap: $222 million.

PE of 14 and a PEG of 0.47 .

Market Outperform - Price 17.76 on April 9
by Avondale Partners

SWIR announced the acquisition of CradlePoint for $30 million in cash/stock, and plans to repurchase about 1.6 million shares. We see these actions as positives that...[help its] balance sheet and business and returns cash to shareholders. SWIR is trading at 11.1 times [calendar]'08 EPS versus peers at 14.2 times, with $5.48 in net cash per share. Market cap: $577 million.

High Growth; Undervalued; Hge Short Interest; Ready to Pop

GROWTH

Always have liked this stock. I think CSCO could buy them out.

zacks

Downgraded by Piper Jaffray from Outperform to Market Perform

Upgraded by CIBC from Sector Perform to Sector Outperform

growth