$3M profit values the Company at $3.1B WTF
Methinks that someone is going to get their fingers burned rather badly here.
An unwanted bid to take over WAN optimiser Riverbed for $3.1bn has been mounted by hedge fund Elliott Associates. Reg readers may be aware of Elliott from its activist, management-agitating attacks against incumbent management at Emulex, Compuware, Brocade and NetApp. Elliott, run by billionaire Paul Singer, looks for …
"Methinks that someone is going to get their fingers burned rather badly here."
They are in the business of investing, so they will assess their investments based on a lot more criteria than a single years profit.
You are forgetting the rest of the company assets, buildings, hardware, and general infrastructure, long running contracts guaranteeing future business and that's before you step foot into the patent room which could be worth billions on their own.
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