|Here's my semi-annual exercise to see if I remember why I own the stocks I own, and so I can check back and see if their stories have changed. I post in case it helps others too.|
GGOX (market cap $0.019B)
GigOptix is a very small, speculative company. They are selling optical switching products, which puts them beyond the startup phase because they have an active product line, but I don't consider them an investment because their financial performance has only begun. Their acquisition strategy demonstrates to me that they are still deciding what type of company they want to become.
Optical switches, and especially high quality ones like from GigOptix, are necessary for increasing the bandwidth and speed of internet and telecommunication traffic. For a while that has not been a strong market because of existing overcapacity. Eventually, the demand should emerge.
Despite my hesitancy, the company is growing revenues and making progress on their product lines. The things they do tend to be the right things.
I will continue to hold and may buy more if funds become available.
DISCLOSURE LTBH of LMRA since 2004.