Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Why Riverbed Technology, Inc. Shares Soared

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Riverbed Technology, (UNKNOWN: RVBD.DL  ) jumped 16% Friday after activist investor Elliot Associates disclosed it has obtained a 9% stake in the wide area network specialist and will push it to find ways to increase shareholder value.

So what: Specifically, Elliot Associates stated it believes Riverbed Technology stock is "significantly undervalued," especially considering Riverbed possesses "extremely loyal customers" and "occupies a mission-critical position in thousands of networks." What's more, Elliot believes Riverbed should implement a strategic review to decide how to best optimize its operations and capital structure in a way that maximize shareholder returns.

Now what: Riverbed Technology, for its part, elaborated further in a subsequent SEC Filing, saying "Elliott believes that these initiatives will prudently, but significantly, provide a meaningful increase to the company's valuation. We have detailed these observations to the Board of Directors of [Riverbed] and look forward to a constructive dialogue."

Got iPad?
Apple's newest iPad Mini with Retina display might be hard to come by this quarter, given all the reports of supply constraints. Well, we're going to be sure to get a few -- and give them away! That's right: For the first time ever, The Motley Fool is hosting a contest where you can win a free iPad Mini with Retina display. All you have to do is tell us why you love The Motley Fool by clicking here! We'll pick the three most Foolish submissions to receive a free iPad Mini with Retina display.

See full terms and conditions by clicking here

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2719844, ~/Articles/ArticleHandler.aspx, 9/26/2016 10:23:30 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,139.07 -122.38 -0.67%
S&P 500 2,153.87 -10.82 -0.50%
NASD 5,270.83 -34.92 -0.66%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

12/31/1969 7:00 PM
RVBD.DL $0.00 Down +0.00 +0.00%
Riverbed Technolog… CAPS Rating: *****