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Robertson Stephens Initiates Coverage on 9 Companies: Key Insights and Statistics

Strategic Insights

— 2 min read

Robertson Stephens, a member of the National Association of Securities Dealers, has initiated coverage on 9 companies across various industries. The analysts have shared their opinions on the companies' growth prospects, market positioning, and valuation. Here are the key insights and statistics from the reports.

Key Takeaways:

  • Convergent Group (CVGP) is a rapidly growing technology services firm focused on delivering business transformation solutions for customers in the utility and local government markets.
  • Crosswave Communications Inc. (CWCI) benefits from high barriers to entry in the Japanese data-centric broadband fiber backbone market, with an 18-24 month lead over potential new entrants.
  • Giganet Ltd. (GGNT) is emerging as one of the leading vendors in the market for point-to-point broadband wireless communications systems, with the potential to generate hundreds of millions of dollars in revenue over the next few years.
  • Wanadoo, France Telecom's Internet unit, is expected to face increased competition and pricing pressure from AOL and others in the French Internet access market.
  • Abercrombie & Fitch (ANF) is poised to generate solid sales and earnings results in the second half of 2000, with ample near-term catalysts to drive positive share performance.
  • Ariba, Inc. (ARBA) is expected to see demand for its core products peak, with the company's near- and long-term business prospects remaining very positive.
  • Eli Lilly & Co. (LLY) will continue to diminish in importance with respect to its top line, particularly as the company introduces its numerous new products over the next two years.
  • i2 Technologies (ITWO) is firmly positioned to become a franchise B2B name, with a strong June quarter at its back and with the integration from the Aspect Development acquisition nearing completion.
  • PurchasePro.com (PPRO) is entering the final month of its quarter, with business continuing to track ahead of plan and the company's public marketplace experiencing increased transactional and vendor liquidity.
  • Sepracor, Inc. (SEPR) has a substantial late-stage drug pipeline, with numerous meaningful events expected in the next 12-18 months, and investors continuing to overestimate the effects of generic fluoxetine upon the company.

Statistics:

  • Convergent Group's revenue is expected to grow rapidly in the utility and local government markets.
  • Crosswave Communications Inc.'s market share in the Japanese data-centric broadband fiber backbone market is estimated to be around 18-24 months ahead of potential new entrants.
  • Giganet Ltd.'s revenue is expected to reach hundreds of millions of dollars over the next few years.
  • Wanadoo's market share in the French Internet access market is expected to decline due to increased competition and pricing pressure.
  • Abercrombie & Fitch's sales and earnings results are expected to be solid in the second half of 2000.
  • Ariba, Inc.'s revenue is expected to reach $100 million in the third quarter, with operating earnings-per-share of ($0.05).
  • i2 Technologies' revenue is expected to grow rapidly due to the integration from the Aspect Development acquisition and its pipeline, closure rates, and business momentum.
  • PurchasePro.com's revenue is expected to be around $13.7 million in the third quarter, with earnings-per-share of ($0.34).
  • Sepracor, Inc.'s revenue is expected to grow rapidly due to its late-stage drug pipeline.

Sources:

  • Robertson Stephens, a member of the National Association of Securities Dealers, CRD number 41271.
  • Forbes, "Robertson Stephens Initiates Coverage On 9 Stocks, August 29, 2000.
  • Bloomberg, "Robertson Stephens Initiates Coverage on 9 Companies, August 29, 2000.

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