Allot Communications Ltd.
People around the world are crazy for the latest and greatest smartphones and constantly are upgrading them. Service providers also must make improvements to their networks to keep up. Basically, the ballooning population of iPhone and iPad users is sucking up more data than ever, and service providers need help managing the flow. That’s where Allot Communications Ltd. (NASDAQ:ALLT) comes in.
The most recent quarter brought record sales (a 37% increase) and a 162% rise in profits. The company posted a 30% sales surprise and is set to profit from the smartphone revolution for years to come.
ALLT is a smaller stock, so I want to point out that I categorize it as a moderately aggressive stock. That means your ride, while a profitable one, could be a bit wild. ALLT is a great buy below $18.
“A great undiscovered growth stock poised to break out.”
I agree. Usage rates are increasing by the millions — especially in developing nations where rapid Internet adoption is causing network congestion.
Now, many of you probably have not heard of Allot before, and for good reason. It’s a small Israeli company that posted financial losses in 2008 and 2009. Now, finally, ALLT is solidly in the black and set to become increasingly profitable. Earnings are expected to more than double this year to 38 cents per share and grow another 30%-plus in 2012 to 51 cents per share.
Back in July, the stock was trading for $19. It’s now at $16 and back on the move. So buy it now — this stock is breaking out!