Arris Rates Buy From IRG8/03/2003 8:00 PM Eastern
Independent Research Group LLC analyst Erik Zamkoff initiated coverage of Arris Group Inc. with a "buy" rating and a $7-per-share price target, after the telecom-equipment maker reported second-quarter revenue was up 11%.
Earlier this month, Arris purchased the cable-modem termination system (CMTS) assets of cable-modem manufacturer Com21, which filed for bankruptcy protection. The CMTS product is targeted at small and medium-sized cable operators.
Zamkoff said he expected Arris to report improving fundamentals, driven by increased deployments of its constant bit rate (CBR) telephony product by Comcast Corp., accelerating CMTS orders from MSOs and announcements of additional trials and deployments of Internet-protocol telephony service.