Dutton Associates Announces Investment Opinion: Wave Systems Strong Speculative Buy Rating Reiterated in Update Coverage by Dutton Associates.EL DORADO El Dorado, legendary country of South America El Dorado (ĕl`dərä`dō, –rā`–) [Span.,=the gilded man], legendary country of the Golden Man sought by adventurers in South America. HILLS, Calif. -- Dutton Associates updates its coverage of Wave Systems (Nasdaq:WAVX) reiterating a Strong Speculative Buy rating and a $4.50 price target. The 12-page report by Dutton senior analyst David P. Soetebier, CFA (Computer Fraud and Abuse Act of 1986) Signed into law in 1986, the CFA was a significant step forward in criminalizing unauthorized access to computer systems and networks. The Act applies to "federal interest computers" that include any system used by the U.S. is available at www.jmdutton.com as well as from First Call, Bloomberg, Zacks, Reuters, Knobias, and other leading financial portals Financial Portal A website that provides a variety of financial data and information, acting as an information hub for clients who are individual investors requiring timely financial news and data to make their investment decisions. . Wave Systems is a leading provider of "trusted computing Trusted Computing (also abbreviated TC) is a technology developed and promoted by the Trusted Computing Group. The term is taken from the field of trusted systems and has a specialized meaning. " solutions. "Trusted" computers use a combination of hardware (Trusted Platform Modules In computing, Trusted Platform Module (TPM) is both the name of a published specification detailing a microcontroller that can store secured information, as well as the general name of implementations of that specification, often called "TPM chip" or "TPM Security Device" (Dell). or TPMs) and software to reduce or eliminate the possibility of the software installed on a personal computer being corrupted, and to verify that the user on a PC is the designated user of the machine. Because the rate of adoption of this technology is unknown, we believe it is difficult to develop an accurate earnings forecast. However, in 2005 and continuing through 2006, Wave has made significant progress in releasing new products and in solidifying so·lid·i·fy v. so·lid·i·fied, so·lid·i·fy·ing, so·lid·i·fies v.tr. 1. To make solid, compact, or hard. 2. To make strong or united. v.intr. relations with key OEMs such as Dell, Intel and Seagate that should drive sales. We believe the Company addresses a large market opportunity, and at some point all PCs will be Trusted computers. Consequently, for those investors willing to consider an investment that offers the potential for significant appreciation, keeping in mind the risk that the Company is effectively out of business if its products are not widely adopted (i.e., it is not cash flow positive), we believe Wave offers strong speculative appeal. Consequently, the shares are rated a Strong Speculative Buy with a 12-month target price of $4.50. About Dutton Associates Dutton Associates is one of the largest independent investment research firms in the U.S. Its 31 senior analysts are primarily CFAs and have expertise in many industries. Dutton Associates provides continuing analyst coverage of over 140 enrolled companies, and its research, estimates, and ratings are carried in all the major databases serving institutions and online investors. The cost of enrollment in our one-year continuing research program is US $39,500 prepaid pre·pay tr.v. pre·paid, pre·pay·ing, pre·pays To pay or pay for beforehand. pre·pay  ment n. for 4 Research Reports, typically published
quarterly, and requisite Research Notes. Dutton Associates received
$33,000 from the Company for 4 Research Reports with coverage commencing
on 5/17/2005. We do not accept payment of our fees in company stock. Our
principals and analysts are prohibited pro·hib·it tr.v. pro·hib·it·ed, pro·hib·it·ing, pro·hib·its 1. To forbid by authority: Smoking is prohibited in most theaters. See Synonyms at forbid. 2. from owning or trading in securities of covered companies. The views expressed in this research report accurately reflect the analyst's personal views about the subject securities or issuer. Neither the analyst's compensation nor the compensation received by us is in any way related to the specific ratings or views contained in this research report or note. Please read full disclosures and analyst background at www.jmdutton.com before investing. |
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