Q: Peter and His Wonder Team
I realize I am trying to compare apples to oranges in two different sectors... but I would like your opinion which is always objective and rational. If you had to sell one of these stocks...which one would it be? Or do you think they both have upside potential...I am down on both? With respect I thank you!
I realize I am trying to compare apples to oranges in two different sectors... but I would like your opinion which is always objective and rational. If you had to sell one of these stocks...which one would it be? Or do you think they both have upside potential...I am down on both? With respect I thank you!
5i Research Answer:
Both are fairly small names (CRNT and LGO have a $138M and $166M market cap, respectively), but CRNT is expecting to grow its sales next year, whereas LGO is anticipating a contraction. LGO has underperformed CRNT over a long period of time, and this is due to its larger net losses, slower growth rates, and higher valuation. Between the names, we would be inclined to sell LGO over CRNT today.