Radcom: Reasonably Priced If It Continues To Grow This Way
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Gytis Zizys3.7K FollowersFollow5ShareSavePlay(12min)CommentsSummaryRadcom (RDCM) is growing steadily, driven by AI-powered, cloud-native 5G assurance demand from Tier-1 telecom customers.RDCM boasts strong gross margins (~75%) and a robust balance sheet, with $107M in cash and no long-term debt.Valuation modeling suggests RDCM trades at a slight discount to intrinsic value ($14.79/share), assuming 17% CAGR and margin expansion.While growth prospects remain solid, I am not adding due to portfolio rebalancing and current sector exuberance. imaginima/iStock via Getty Images Introduction Radcom’s (RDCM) shares seem to be returning to life recently, so I wanted to take a look at why that may have been and whether it would be a good time to jump in. The company has been growing steadilyThis article was written byGytis Zizys3.7K FollowersFollowMSc in Finance. Long-term horizon investor mostly with 5-10 year horizon. I like to keep investing simple. I believe a portfolio should consist of a mix of growth, value, and dividend-paying stocks but usually end up looking for value more than anything. I also sell options from time to time.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.Recommended For You