Endace Share Discussion Threads

[knackers] 31/10/2012 09:09

PG certainly aren't being shy and a far cry from their dark mood music back in March. They're pushing this now.

Notwithstanding the 100G launch (which is huge), in the absence of 'deal related news' this is v interesting. They're being pretty relentless - insistent even. Clearly at £2.80 we're horribly undervalued. Thing is of course this is a market and investment opportunity few understand...for how much longer, I wonder?

Endace seem to be coming back strongly with a clever and exciting little NPD strategy. I can see sentiment (and the SP) spinning around pretty quickly here. Mojo back indeed (I'm buying that story now!)

[edwardt] 31/10/2012 08:30

panmure raised their price target 12p to 552!

[knackers] 29/10/2012 08:46

This is a smart move, but the challenge for the market, how many current 1-10Gbs systems can truly monitor and capture 100% of traffic at 10Gbs..?

"The EndaceAccess 100 enables organizations to leverage their existing 10 Gbps capable tools in a 100G environment. Previously, when the world moved from 1 Gbps to 10 Gbps networking, the ability to leverage existing tools in this way proved to be a major advantage for organizations, and we expect this to be the case as organizations make the natural transition from 10 Gbps to 40G and 100G networking. The EndaceAccess 100 is inter-operable with any 10 Gbps capable monitoring or security tool, including Endace's own range of Intelligent Network Recorders."

Great to also see independent comment from Gartner and Lawrence Berkeley Labs in the release.

[knackers] 29/10/2012 08:25

100% at 100G is finally here! Fantastic achievement.

EndaceExtreme was the Beta version, enter EndaceAccess

Given the obvious prep that's gone into this launch (supporting white papers, research etc) I reckon there's more to come. Likely Access accounts for most, if not all, the proof of concepts trials mentioned in the recent trading statement.

Looks like we have a bit more work to do to the header Aspex ;o)

[knackers] 25/10/2012 18:50

Wide-awake time:

"While 10 Gbps likely will remain the standard bearer for most network data rates well into the future, 100 Gbps already has proven that it will be much more than a niche technology. 100G is taking off" Sept 2012

[knackers] 23/10/2012 16:44

VMT, Aspex!

[knackers] 22/10/2012 18:51

Well, well looky here

At 100Gbs network managers risk driving faster than their headlights!
"Well this car...it's automatic, it's systematic, it's hydromatic....

The competition better get some "overhead lifters" me thinks. LOL

[knackers] 20/10/2012 13:36

Endace is the only 100Gbs network instrumentation gun-slinger in town. Only two or three years ago 100Gbs seemed fanciful. No more. This is no jam tomorrow story, it's here now and is very real. Can't be long before we start to hear more about the specifics of the POCs referred to at the AGM and within H1 trading update/broker notes. Prospects in this ultra market are starting to look compelling. Nil competition - zero, zip, zilch

"...a 'perfect storm' of technology trends is driving this demand [for bandwidth]."

Which will present very significant challenges for NetOps/NetSec teams in the next 2-3 years.

[knackers] 19/10/2012 13:39

Interesting rumours on the boards

[knackers] 18/10/2012 21:59

"100Gb/s is just the start...(!)"
Bring it on...

Xo Comms makes 100gbs available on a national basis with Nokia Siemens onboard.

[knackers] 16/10/2012 09:48

I think this is what has them excited Aspex (link below). EDA are one of the very few vendors able to compete with RSA NetWitness. Endace blogged exactly this thinking a few weeks before the EMC item below appeared. They're very much on the money.



At higher line rates (above 2-3Gb/s) spotting and fixing network problems is going to get incredibly tough, esp if using using standard kit (NIC cards etc)

[aspex] 16/10/2012 08:57

Tim Nichols appears upbeat in his blog about Interop

They must feel more confident by the day

[knackers] 09/10/2012 12:15

Aspex, if they can do 15-20% for the full year we'll be nearer £6! Nice little earner on today's share price, looking at trends in the market, and the relatively low revenue base we're coming from, it's more than doable....as is 25% on last year ;o)

Read between the lines in today's statement: they're pointing unashamedly at their operational leverage,. They're in good shape. Just need to make more noise. Given how quiet they've been since Nov '11 if they start to bang the promotional drum a bit more assertively...well now

[knackers] 09/10/2012 12:06

I think Riley may have been one of the few inside the business saying that the enterprise data centre was the future sweet spot, Ed. The Deutsche review validating his position and putting internal arguments on the future direction, application/relevance for their technology finally to bed. Many felt it was OK to just continue pushing their tech to FS/HFT and Govt agencies. No question the real gravy is in that Fortune 500 enterprise mkt, if they can get traction here revenue visibility will improve - dramatically. We need to look for this newsflow in the H2 and FY results. Now, if we just happen to land a Govt contract for probes rather than cards whilst focusing on enterprises - that obviously provides a very nice double-kicker but the ground work in Govt has been done and a single Govt contract for probes would IMHO be a game-changer; just don't expect an RNS ;o) UK, US and Canada Govts are beginning to recognise that above 40gb/s line rates there's really only one show in town as Endace tech excels at high line rates and is incredibly accurate.

Further, next year we'll [finally] start to see 100gb/s deployments. That is a FACT. It's this trend that will provide the growth kicker, not lost on Edison. But as you say Ed - time to deliver!!

Comments from a recent blog post by Endace. They're pretty pumped about the future!

"Whether SDN changes the networking landscape or not doesn't change the fact that people have a greater need to know what's happening inside the network than they had yesterday and the more complicated the network becomes the more compelling the case for intelligent recording becomes so we're looking towards the next Interop with great expectation and enthusiasm."

[edwardt] 09/10/2012 10:47

i hear you aspex but they are pretty good about repeating themselves - if they mention the pipeline one more time, i think i will scream! also somewhat disingenuous of Riley to say 3% growth is ok given strong 2011 comparison. This is supposed to be a growth company in a sweet spot, time to deliver me thinks.

[aspex] 09/10/2012 10:33

K,
knowing their typical Kiwi reticence to put out something over zealous, my suggestion is that they would likely get the update out separately, look for stability and approval and then launch the market oriented news.

I see Panmure have upped the target from 530 to 540p. Brave souls but of course nearly double the current market

[knackers] 09/10/2012 10:19

Aspex - I was genuinely concerned there could have been a cash call if they missed the H1 rev number. On the contrary, cash management looks v solid and would agree there's something of a war chest building here which some of their noisier competitors (Solera in particular) might only dream of...

So some real positives and dare I say intriguing take-aways.

Yes the market is cash strapped but Endace's new positioning plays on that nicely i.e. get the 'MAX' ROI from your existing network infrastructure. Also their kit works just as well for both SecOps and NetOps teams. Why have different/separate tools for each...!?

FWIW I think there's news in the wings...big news

[knackers] 09/10/2012 10:03

We're back in business Ed. H2 off to a flier..?

Like you I was getting increasingly vexed as the SP's recent shenanigans as was pointing to revenues in the $16.5-18m range, and yet headcount has been very solid around (200). They'll now be waiting on those 'POCs'.

Any remote suggestion of Govt finally starting to buy has to be viewed positively. Such is the way of the world...!

Indeed Itchy. Whoever the mystery shopper is/was, they can go jump in a lake - they wont be picking much more up at these prices. Any remotely positive update on a new dev/partner/channel or deal and we'll sling-shot. Many PIs now shaken out and a stock that's more closely held than ever. PI free-float could be as little as

[aspex] 09/10/2012 09:56

Knackers,
I cannot find any Panmure comment.
I note Edison are on the ball and the particular comment I like is
'With a H1 cash balance of $4.3m, our $4.7m year-end net cash estimate for year-end is also now conservative.'
That all looks good considering the cash demands of extra staff, so they must expect to make an immediate return.

[itchycrack] 09/10/2012 09:31

At least this update should now put a floor under the share price.

[edwardt] 09/10/2012 09:29

well i have to say i am a little relieved. cash burn not too bad. the revenue growth was mediocre but appears to have had quite a transition in its makeup and appears to be going with the plan...

Also for me the mention of a good september in the panmure report bodes well . i am also intrigued by the positive comment on UK and US govt contracts - i thought that was no longer the focus. Perhaps there is new momentum here?

[knackers] 09/10/2012 08:10

Agreed. Not much wrong with that and as understood from the Edison note, there are a number of POCs underway right now, a good very sign given their new positioning. Could be some interesting newsflow in the coming weeks/months.

This is a workmanlike performance against a tough backdrop. Reckon they'll be pushing on to beat targets for the full year. I'm liking this channel traction, a nice little 'kicker'.

Will look out for Panmure's H1 update.

[kaspex] 09/10/2012 07:08

The update. Results coming 6th November.
Very positive towards the full year expectations and showing that they are discounting any negatives that may be implied for the first half.

[knackers] 03/10/2012 15:52

LOL, you're as optimistic as me, Ed! admirable indeed ;o) But you might just be right... This trend could spin around v rapidly and if they get any kind of traction around this new story and ground they've claimed (Response & Root Cause) - they're off to the races!

BTW interesting that for the past month Fishnet have been recruiting consultants with 'preferable' experience in Endace technology. Early days but an encouraging sign - they're serious about supporting the channel and are buying the story.

[edwardt] 03/10/2012 15:35

we need a big contract win. i can feel it coming!! trading statement due next week?