For those of you who do not read hebrew here are some extracts from todays article in the finnacial news site THEMARKER.CO.IL
1. SSB believes that rdwr's latest product gives it an edge of about 8 months over the competition 2. SSB maintains the "BUY" rec on rdwr with a target price of 55$ - 150% ABOVE than the current price. 3.SSB expect rdwr to grow 43% in 2001, and to earn 47 cent per share
I wonder how SSB can be so precise about 2001 sales($54.5) and earning (47 cents per share). By analyzing RDWR's products, market, customer base and more data we predict that revenues will climb to $60 million with EPS of 60 cents. If the product developed with CMVT launch during 2001 we will see even better results
The so called analysts have never been right about RDWR's sales and earnings. I've been in this stock since it went public so I remember that at the beginning of 2000 they were predicting earnings of 0.19 for the whole year! But reporting the final quarter now we know that the earnings will be 0.32-0.37 this year. I agree that your estimate is most likely closer to what will really happen next year. Although, I think they may even do better than 0.60. Anyway the moral of the story is just because they're analysts doesn't mean they know what they're talking about. Look at AMZN or YHOO, every analyst had a buy rating on them. Now what are they saying?