Sell Side Analyst have recently communicated with Allot Management
Based on article below and comment wedge bought to our attention it is apparent and obvious that Allot's business is currently not showing any visible sign of turning the corner / picking up momentum . Procera valuation and share price unfortunately is still very much affected and traded based on the success and failure of this 800lb turd , which is very unfortunate.
Not entirely true. Procera has stated that they might see some losses over the next quarter or two and with perceived problems economicaly on the horizon, stock holders in this space are fearful that we might not see an expected recovery as soon as the second half of the year, spending may lessen. They may be very wrong but with the huge short position still in place it seems caution is overriding confidence until some big numbers get posted irrespective of what Allot might or might not do.
Sloop PKT ended 2012 with a very strong B2B ; we all know why Allot is struggling Procera competes heads up with them and is having much success. You mention losses , on January 1st Vineyard acquistion was announced and will account for close to 1 million $ hit that will affect bottom line Q1. Procera has hired many employees over last 6 months to prepare for significant ramp in business 2nd half of 2013. We already know margins on Support & Service line will bottom in 1st half of 2013 in the upper 70's and gradually work there way back up to upper 80's / lower 90's. Based upon Q4 / year end earning release we have noticed no deceleration of business only pushout of revenue recognition. Add OEM & Enterprise to 2012 business mix along with 19 trials and one has to believe much negative has been built in / reflected in Procera current share price with no positive which is very difficult to comprehend considering what they have accomplished over last two years. Unfortunately there are times when Companies have to choose between near term profitability or longer term greater growth sometime u have to choose one or the other. Management has a vision and sees great growth opportunities with Vineyard acquisition. Unfortunately the market right now is not able to appreciate / share their vision.