Topic: How To Invest

Pat: Can I have your recommendation on Vecima Networks? Thanks.

Article Excerpt

Vecima Networks, $11.78, symbol VCM on Toronto (Shares outstanding: 22.4 million; Market cap: $263.0 million, www.vecima.com), designs and make technology for the broadband equipment market. Vecima first sold shares to the public in 2005 and began trading on the Toronto exchange at $7.50. The company’s technology provides a final network segment for service providers, such as cable companies, to connect their systems directly to end-users. This is commonly referred to as “the last mile.” Due to regulatory requirements, all North American cable operators are completely turning off their analog television broadcasts. However, there are still many cable subscribers who can only get analog signals, and Vecima’s main products address this market. For example, the company’s Terrace products let cable operators convert their digital video signals into the older analog signals. These products are commonly used in apartment buildings and other multi-room buildings. The Terrace QAM line of products lets cable operators with customers in the hospitality industry, such as hotels, distribute multiple…