Acme Packet (APKT)

[Not_Bill_Oneil]

With CSCO & JNPR just ramping...

You have to expect more moves like today.

Interesting things about this issue. IBD has APKT in the Telecom equipment industry group (ranked very low). Whereas many of their competitors (except for Sonus) are listed in the Computer Networking group (ranked no. 3 out of 197).

And the major portion of their 80% gross margins actually comes from licensing their secret software used in their own boxes. What software group could come close to describing them?... Look at the sub-sectors to work on that one (i.e. security, enterprise, etc).

But, what about the Internet Networking solutions group - I actually think they could belong in there. Look who else is in that group and what they do. And the carriers (their customers) seem to prefer the SBC's separate from the routing equipment, etc. I think of APKT more of a cross between FFIV and/or an AKAM and a CSCO (w/ a twist) if I had to quickly describe them and catagorize the company into a group.

It's hard to place these guys, I like it. That confuses people. And I think having them listed in the telecom equipment group adds to the confusion. I like that too.

I also like what I've been reading. It's just that forecast...

I'll try to post some links before early next week.

Happy Thanksgiving.