Concurrent's A Mixed Bag


Rodman & Renshaw analyst Daniel Ernst reiterated his "market outperform" rating on Concurrent Computer Corp. last week, but tempered his enthusiasm after the video-on-demand equipment supplier reported mixed fiscal second-quarter results.

Concurrent was slightly ahead of Ernst's estimates for the fiscal second quarter — revenue was 3% above his estimates, but a 1 cent per share loss fell short of his expectation of a 1 cent-per-share profit.

Ernst was encouraged by the prospects for VOD sales to cable operators — to date, only a fraction of the potential market has been penetrated — but he wrote that investors will "require additional clarification on MSO spending plans to gain conviction."