George Rho
Research analyst, long/short equity, special situations, arbitrage

An Opportunity In The Huge Gigamon Sell-Off

Gigamon Inc. (NYSE: GIMO), the subject of this Event Driven Special Situation recommendation, made its public debut in grand style last June. Indeed, the stock of the developer of products that help enterprises manage the flow of data across their networks soared 49.8% in their first day of trading, rising to $28.47 per share. Investor demand was fueled by both a rapidly rising top line and an already-established track record of profitability. A red-hot IPO (initial public offering) market for all things "cloud"-related certainly helped, too. GIMO stock continued to rise in the subsequent months, peaking on September 19th at $41.81, 120% above the IPO price of $19. Incredibly, though, the equity ended yesterday's trading session at $16.25, down...

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