Endace Share Discussion Threads

[knackers] 06/6/2012 08:10

You may well be right Aspex - good spot. Could well be a drum-roll.

Think this is the second presentation Spencer has given in as many days, and I see that he's behind Endace's new 'best practice' blog - thought leadership approach is absolutely the right marketing angle for an aspiring sector leader. No let up in the US recruitment drive I see with them now looking for a 'Channel' Marketing Director. Must be some significant devs in the wings to justify all these new channel hires...

[aspex] 06/6/2012 03:38

Putting pressure on its market.


"Organizations must now find a way to treat the cause of poor network and application performance rather than the symptoms, which means investing in high performance network monitoring and recording infrastructure capable of providing real-time visibility into the network at all levels of the OSI stack."


Surely there has to be something about to happen.
I note the Juniper sponsorship.

[knackers] 01/6/2012 21:06

Don't be suckered by the slide on low vols.

[knackers] 29/5/2012 21:32

Danaher Corporation acquires VSS monitoring - a minnow competitor to EDA. Think VSS used to OEM Endace's DAG cards.

[knackers] 29/5/2012 18:49

Interview with VP of marketing Tim Nichols

[knackers] 24/5/2012 08:27

NBR article yesterday:

Whilst nothing quite so blatant has been said, of course the Deutsche review provides a sort of independent prospectus or brochure for potential strategic partner-investors or acquirers...

[aspex] 22/5/2012 21:13

FWIW Canacord says 'hold' but cuts price to 500p from 600p
(when have they been interested in rating?)
PG upgrades to 'buy'

[knackers] 22/5/2012 19:13

Likewise, Ed, I think there are some interesting devs in the wings. Way too risky to deliver on that sort of h/c increase and not have it underpinned (be sheer madness). And to your point - who, where, when, what terms etc, we'll just have to wait and see, but quite obvious the plans seem pretty bold. I sense a desire/ambition for Endace's tech to be a sort of 'standard fit' within ICT/enterprise/critical infrastructure data centres. Now, how to achieve that..?

[edwardt] 22/5/2012 17:52

i am now scratching my head ....with circa $5 to 6m in cash - recruiting 55 to60 extra staff at say $150,000 each ? we are looking at circa $9m extra employment spend - surely the cash burn will kill them unless there is a strategic alliance or some form equity raise coming. For me, i still think there is a big rns to follow but at the end of the day, we are all guessing! time to close your eyes and just run with it would be my view.

[knackers] 22/5/2012 17:26

Snapshot from today's briefing:

1. DB review ongoing. Seem to be plenty of aspects to that...i.e. validate future intentions, strategic direction and technology relevance/appeal, approach to go to market, territories and sectors they focus on, who they might partner with etc. Given that it's DB conducting the review I can't help think that there's a corporate action associated with this as Ed suggests above i.e. something of strategic significance to all stakeholders.

2. Future will see much more focus on US enterprise sector

3. Indirect channels to market will become increasingly important

4. Endace technology leadership (precision, performance) a key strength. One of the few pure hardware based propositions with scaleable software analytics overlay and flex/open APIs for own (SIEM etc) applications install

5. Whilst 100gb/s provides a clear roadmap for the future (scalability) it isn't where there is greatest relevance and opportunity

6. This (FY12-13) year's revenue guidance is in the ballpark of $48m (seems conservative). PG FY13-14e guidance expecting a big uptick in EPS to 50 cents, however...

7. Recruitment drive underway. They've budgeted for about 55-60 new hires this year! Must be something underpinning that confidence

8. ...watch this space, promises to be an interesting year

[edwardt] 22/5/2012 12:53

most banks look at what will earn them the most, hence an outright sale is my best guess!

[mikepompeyfan] 22/5/2012 08:04

I think you're right k. It seems eda will follow DB's recommendation and if they say an outright sale is the best way of realising their potential ..... Maybe l will hang on a bit longer ;-)

[knackers] 22/5/2012 07:59

Yup things could be at a sensitive stage. Timing of presentation rounds a bit awkward. The first question in my mind for today was - had the DB review been completed - well it would seem, not quite. Looking again at that wording today the more I'm wondering on the poss of an imminent outright sale...I wouldn't discount it.

[aspex] 22/5/2012 07:05

DB review not yet complete and no announcement of any new tie-ins.

[mikepompeyfan] 21/5/2012 09:35

I'II be honest with you K. I've held eda for years now but am thinking about selling out. There are so many good companies with low share prices and high dividend yields about that l can't but help be tempted. I do get the eda story but l do fancy getting some dividend income locked in now. I will have to study the report closely tomorrow.

[knackers] 21/5/2012 09:28

With about 24 vacancies on their website I'd like to think there's plenty of confidence in the future, Mike ;o) I think we're all agreed that an outright acquisition, whilst poss, is the least likely corporate activity outcome. We'll see...but my money is on a brace of alliance partnerships this next year which will turbo-charge their ambitions in the NAM enterprise sector.

Packet level visibility for large enterprises, carriers/ISPs/Telcos is going to be v important for both security and infrastructure performance management/optimisation in the future (and as networks get faster that job becomes increasingly complex and challenging). But without it you'll struggle to know whether your network is performing optimally, delivering value or meeting service levels - let alone how to trouble-shoot, quickly resolve probs and complete perf forensics. Plenty still under the hood here.

[mikepompeyfan] 20/5/2012 18:00

I hope we will get an update on this Tuesday. It was about 2 months ago now - 'Having carefully considered various opportunities for the Company, earlier this year the Board appointed Deutsche Bank to review options for the future'.

[knackers] 20/5/2012 15:34

Forrester report highlights need for improved network visibility tools (packet level monitoring and analysis) alongside next gen firewalls (prevention measures).

Growing evidence of Endace's relevance - especially in high end/high performance environments.

[knackers] 18/5/2012 18:45

Carrier-class switching for HK Exchange and Clearing with a Juniper QFabric deployment in Q3/12. We're talking need for 100% capture at 10gb/s+ potentially. Critical the fabric deliveres fairness, performance, relability and security to service users.

More on QFabric

[knackers] 15/5/2012 08:58

Interesting development: ISPs such as Verizon and AT&T are being encouraged by the US Dept of Defense to sell 'cyber security as a service' to defence contractors

DoD seems to have lost faith in industry's ability to protect itself from cyber threats. Likely these security measures will have intrusion detection at their heart. DoD is providing 3 'named' ISPs in this programme both classfied and unclassified threat signatures for their IPS/IDS alerting.

Not sure what the traditional security vendors like Sourcefire, CheckPoint will make of this. They'll be effectively disintermediated by the ISP offering. Thing is ISPs manage the ICT infrastucture and are well placed to provide oversight. Endace sells cards and probes to ISPs/carriers for IDS and monitoring purposes.

[knackers] 11/5/2012 12:44

Not sure about spotting the anomaly - possibly, if rules/alerts were correctly written to identify such activity. But just as important now is the post event analysis and investigation. There may have been a highly complex series of transactions performed and the complete forensic record, exact times and sequences of trades placed etc, will no doubt be required. No doubt by the regulator as well i.e. confidence in the entire sector takes a hit...lessons need to be learnt...and confidence restored.

That Endace capability of accurate capture, timestamp and record to disk at line rate, will no doubt be key here and I gather JPM have this capability. So one thing they wont be lacking is an accurate audit trail. They should be able to play everything back exactly as it happened, Ed - think 'Black Box' flight recorder on the network. Should be a standard fit right across the industry. Only a matter of time...and seriousness of events before that happens.

[edwardt] 11/5/2012 11:54

i hope endace helped spot the 'white whale's' trading positions at jpm?!

[knackers] 10/5/2012 08:49

Quite a bit of comment in the media recently on cyber insurance. Bit of a prob for insurers as they'll write policies for orgs for whom they haven't completed risk assessment/due diligence - represents a consider exposure for them. i.e. how do they know the risk profile of those they're insuring if they don't conduct some form of investigation or have monitoring tech client-side which allows an "are you compromised" audit/assessment to be undertaken? Something for Endace there too perhaps?

[knackers] 08/5/2012 18:09

DISA to launch ubiquitous 100gb/s-400gb/s single global network by 2020.