58
Packeteer (PKTR)
Packeteer enjoyed a surprising renaissance in 2005. The Cupertino (Calif.) company got off to a promising start in the late 1990s, largely thanks to "traffic shaping" that let customers control how much bandwidth to give to particular online activities -- so schools could dial back room for file-sharing of songs, for instance, allowing more for faculty members' e-mail. But then Packeteer was badly outmarketed, using similar technology to help companies speed connections with branch offices without busting the budget-buying T1 lines. Only in 2005, as rival outfits were acquired, did the 300-employee company emerge as the real leader, with 36% market share. Its bottom line went from a $71 million loss in 2001 to profits of $19.2 million in 2005. Trouble is, competitors continue to emerge, such as Riverbed Technology. As a result, JMP Securities expects Packeteer's sales growth to slow to 10% this year, from 22% in 2005, when revenues reached $112.9 million.
Company Info |
|
| 2005 Rank | NR |
| Market Value* ($ Millions) | 446.6 |
| Sales* ($ Millions) | 117.1 |
| Sales Growth (3-yr. avg. annual) |
27.1 % |
| Profits* ($ Millions) | 20.1 |
| Profit Growth (3-yr. avg. annual) | 68.0 % |
| Return on Inv. Capital (3-yr.) | 14.1 % |
| Share Price 12-Mo. Hi/Lo | 16/7 |
| Share Price As of 4/28/06 | 13 |
| Return on Equity | 14.4 % |
| P/E Ratio | 23 |
| No. of Employees | 304 |
| Industry | Communications Equipment |
| CURRENT MARKET INFO | PKTR > |
| COMPANY WEB SITE > | |
| Location | Cupertino, Calif. |
| Phone | 408 873-4400 |
*Trailing 12 months
Stock price data as of 4/28/06
DATA: Standard & Poor's Compustat
Related Articles
CitiGroup Ups Packeteer to Buy from Hold
Company Snapshot
Packeteer along with its subsidiaries, provides wide area network (WAN) application optimization systems to deliver a set of visibility, control, compression, and protocol acceleration capabilities to enterprise customers and service providers. Its products include PacketShaper, which provides application traffic monitoring and enables service providers to create differentiated services through bandwidth provisioning and management; and Shaping Module for PacketShaper, a software option to provide application-based traffic and bandwidth management to deliver predictable performance for applications running over the WAN and Internet. The company offers Compression Module for PacketShaper, a software option to provide increased throughput for application traffic; and PolicyCenter, a directory-based policy management application that enables Packeteer's enterprise and service provider customers to centrally administer and update policies, software versions, and device status for Packeteer-based networks. It also provides ReportCenter, an application to aggregate metrics from large deployments and create organization-wide reports to manage trends and provide support for capacity planning and usage analysis; and SkyX Accelerator products to provide network and application acceleration over satellite and long-haul networks with Xpress Transport Protocol, or XTP, Web prefetch, and multicast content distribution capabilities. Packeteer sells its products through direct sales force, resellers, distributors, and system integrators in the Americas, Asia Pacific, Europe, Middle East, and Africa. The company was founded in 1996 and is headquartered in Cupertino, Calif.
Data provided by 
