Allot (ALLT +3.7%) is now up 13%, and Procera (PKT +2.1%) is up 9%, since an appeals court shot down the FCC's wireline net neutrality rules yesterday (an appeal might happen). Helping Allot's cause: Dougherty has started coverage on the company with a Buy and $19 PT.
Infonetics' Andrew Schmitt is skeptical deep packet inspection hardware vendors such as Allot and Procera will see much benefit from an end to wireline net neutrality. On the other hand, he thinks fiber-to-the-home (FTTH) hardware providers Adtran (ADTN +3.4%) and Calix (CALX +0.8%) could get a lift, as carriers able to charge more for improved service speeds find it easier to justify FTTH buildouts.
Yesterday: Allot ticks higher following net neutrality ruling