On the other hand, Blair today reiterated an Outperform rating on Riverbed Technology (NASDAQ: RVBD). Analysts said channel checks reinforce the idea that Riverbed is seeing some recovery in its core business, driven by the Steelhead product refresh and good early traction with Granite.
"Feedback from the federal vertical continued to be positive, while enterprise resellers pointed to better roughly 25% new business with Riverbed and 75% refresh," said analyst Jason Ader.
Go look at the ratings and price action of the stock just prior to earnings for the last 2 qtrs. Completely opposite of how earnings turned out. (Last qtr, down grades galore and earnings were positive. Prior qtr, stock moving up, earnings slightly missed.) Just saying that these upgrades/downgrades just prior to earnings is more of a manipulative play by the analysts that actually having any real insight to earnings results to come.