Tekelec

1
Tekelec

• TKLC 17.33
• Ashneil Jain
• Shreyas Mahapatra

2
Proposed Buy and Sell

• Limit 17.00 to buy
• Limit 20.50 to sell
• If its bought by Cisco then vote on whether or
  not to hold CSCO

3
What Tekelec Does

• Telecommunications
• Software and System Applications
• Network Signaling Applications
• Mobile and Landline apps
• Speed and Efficiency throughout network
• Performance Management and Monitoring
• Eagle 5
• Mobile Messaging
• Variety of Text Message Services

4
Locations

• Headquarters in North Carolina
• Business works on three fronts
• North America
• US and Canada
• EMAAA
• Europe, Middle East, Asia Pacific, Australia and
  Africa
• CALA
• Caribbean and Latin America

5
Financials

• Price 17.32
• 52 Week 10.01 - 19.68
• Volume 590,000.00
• Mrkt Cap 1.16B
• P/E 26.65
• EPS 0.65
• Beta 1.04

• Revenue 460.56 M
• Earnings 55.04M
• PEG 2.25
• Inst Own 86

6
Competitors

• Main Competitor is ERIC
• Bigger but more unstable
• 7 inst own
• No prospects of buy from Cisco
• No diversity in new products
• Growth rate is far higher for TKLC
• Graph

7
Reasons to Buy

• Kramer situation, Cisco
• Best growth rate in industry (top 100)
• Earning report November 4th
• Earning report usually above estimate causing
  spike in price (AOL)
• Rated top 200 small business in US (Forbes)
• Telecom Traffic up 12 this year

8
More Reasons to Buy

• 8 of 10 largest Wireless providers
• 6 of 10 largest Wireline providers
• Eagle 5, Eagle XG
• Recession proof model, technology increase
• CL King, Strong Buy
• Insider Trading up since August