Despite the correction, the one year performance of the stock remains very good. It is up 35% on a 52 week basis and has appreciated by 61% on a year to date basis. Exposure to earnings is always risky, and this time the earnings release led to a correction. The revenue increased by 4% from $55.2 million in Q2'12 to $57.5 million in Q2'13, but the net income dropped nearly 19% to $10.7 million from $13.2 million in Q2'12. The Non-GAAP net income also dropped from 29 cents per share in Q2'12 to 26 cents per share in Q2'13. For Q3'13, the company expects revenue in the range of $57.7 - $58.2 million with net income (non-GAAP) of $10.6 - $11.1 million. For the full fiscal 2013, the guidance was improved. Analyst opinion may have become a bit less optimistic after the recent results. However, after the correction the valuations have improved and the P/E (ttm) is 19.13 and the forward P/E is 14.8. There was an article on seekingalpha recently which recommended a buy on the stock for its future growth prospects and valuations. The author considered the unique business model of RPXC and its expanding economic moat as the main reasons owning the stock. RPXC helps the companies avoid costs by mitigating patent litigation. Companies want to optimize the value of their patents, and many prefer routes other than litigation. Litigation is time consuming and costly. Patents monetization is big business, and even smaller companies like Marathon Patent Group (MARA) have been able to enforce settlements against much bigger companies. The author stated that RPXC is undervalued because the entire company can be bought for less than the cost of its patent portfolio. The article also mentions some risk factors, and hence needs to be read in totality to form an opinion.