GigaBeam Corporation (NASDAQ:GGBM) is hosting an investor conference call today, Wednesday, July 25, 2007 at 12 noon Eastern, to discuss the Company's recent orders and other milestone strategic achievements. The Company is making solid progress in their strategy to penetrate major metropolitan areas with next generation wireless technology able to bypass existing telecom infrastructure at speeds equal to 1000 DSL lines, known as WiFiber. WiFiber is similar to terrestrial fiber in terms of speed and reliability, yet has a substantial advantage because WiFiber can be rapidly deployed at a fraction of the cost of terrestrial fiber. Last Friday they announced "milestone orders" accounting for 24 additional WiFiber links for use in the Western United States. Yesterday, they announced an order for four additiional WiFiber links for their South African reseller. The Company has also announced recent orders in several US regions, the Middle East and Europe.
Based on this week's action, traders are expecting big things out of Gigabeam. The stock closed at $5.93 yesterday, up 22% on an otherwise massacre of a day on the Nasdaq. Last Friday, Gigabeam closed at $2.80 and had traded between $2.06 and $9.55 in the last 12 months. Gigabeam also has a very low float of 6.5 million shares and traded 4.6 million shares today , so don't go crazy and buy 100,000 shares or anything. Also of note, Gigabeam had just regained Nasdaq compliance by naming an independent director and audit committee member in early July. Their previous independent director resigned in the first quarter.
Current GigaBeam partners and customers include Google, Verizon, ING, Sprint, The Department of Defense, as well as several cities and universities such as San Francisco and Boston University. The DoD made a follow on order through a reseller in May and I would expect them to be a pretty picky wireless customer.
Gigabeam is an exciting company that should continue to make news for years to come. A word of caution, this is an extremely speculative stock so be careful and don't get too greedy. The investor call today should fuel continued interest in the stock, will we see the 52 week high?
Disclosure: The author is long Gigabeam, Inc.
GGBM 1-yr chart