IoT
Business & Finance
News
4/27/2007
08:20 PM
50%
50%
RELATED EVENTS
DDoS Attacks & Their Threats to Your Business
May 10, 2016
Who better to brief you on the latest in DDoS attacks and prevention than the ones working on the ...Read More>>

Credit Suisse Disruptive Technology Portfolio: RightNow Lowers Cash Flow Forecast And Loses Top Sales Exec

An index of companies shaking up traditional business models.

RightNow Technologies' stock had the biggest move of the Disruptive Technology Portfolio companies after management said it expects cash flow to be 30% to 50% less this year than previously estimated, pushing the stock down almost 15% in the week. Management blamed shorter contracts--down to 20 months from about 30--resulting from a new sales compensation plan. RightNow is transitioning to a completely subscription-based model, and incentives were too heavily weighted to first-year cash collection.

The earnings conference call included news that Jay Rising, head of field operations, resigned. Rising, who joined the CRM vendor from ADP in October, was never fully content with his role at the company and decided to resign, management said. RightNow's 1Q results were slightly above expectations, but the cash-flow shortfall and Rising's resignation overshadowed that.

Overall, the 29-stock portfolio grew 0.9% compared with the S&P 500, which grew 1.6%. Sixteen stocks in the index ended in positive territory, while 13 declined.

Disruptive Technology Portfolio
    Stock Price
4/25/07
% Change
Weekly
% Change
Year To Date
AAPL Apple Computer $95.35 5.5% 12.4%
BIDU Baidu.com, Inc. $104.68 5.7% -7.1%
BBBB Blackboard $33.77 1.9% 12.4%
BRCM Broadcom $34.29 3.9% 6.1%
CNQR Concur Technologies $18.20 0.4% 13.5%
CRM salesforce.com $42.58 0.6% 16.8%
CTSH Cognizant Technology $89.58 2.0% 16.1%
DRIV Digital River $56.47 1.4% 1.2%
EBAY Ebay $33.77 -2.0% 12.3%
GOOG Google Inc. $477.99 0.4% 3.8%
INFY Infosys $53.59 -2.1% -1.8%
KNXA Kenexa $29.37 -8.5% -11.7%
MFE McAfee $29.67 1.6% 4.5%
MRVL Marvell $16.75 -2.5% -12.7%
NOVL Novell $7.15 -3.4% 15.3%
NSR Neustar $28.84 -0.4% -11.1%
NVDA Nvidia Corp. $33.11 6.5% -10.5%
RHT Red Hat $22.14 -2.5% -3.7%
RIMM Research in Motion $135.53 0.9% 6.1%
RNOW RightNow Tech $15.20 -14.8% -11.7%
TLEO Taleo $15.89 -5.5% 16.2%
TIBX TIBCO, Inc. $9.60 2.3% 1.7%
TXN Texas Instruments $35.34 10.6% 22.7%
ULTI Ultimate Software $26.83 -0.6% 15.3%
VRSN Verisign $26.98 1.1% 12.2%
WEBX WebEx Communications $56.74 -0.2% 62.6%
WIND Wind River $10.12 0.1% -1.3%
WIT Wipro $16.49 -1.0% 2.1%
YHOO Yahoo! Inc. $28.06 -0.9% 9.9%
  DTP Index Value $262.76 0.9% 5.5%
SPX S&P 500 $1,495.42 1.6% 5.4%

© 2007 Credit Suisse. Important disclosure information about potential conflicts of interest regarding the companies referenced above may be obtained at csfb.com/researchdisclosures, or by E-mailing equity.research@csfb.com or calling 1-877-291-2683.

View the most recent results of the
Disruptive Technology Portfolio

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
Register for InformationWeek Newsletters
White Papers
Current Issue
2016 InformationWeek Elite 100
Our 28th annual ranking of the leading US users of business technology.
Video
Slideshows
Twitter Feed
InformationWeek Radio
Archived InformationWeek Radio
Join us for a roundup of the top stories on InformationWeek.com for the week of April 24, 2016. We'll be talking with the InformationWeek.com editors and correspondents who brought you the top stories of the week!
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.