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Mellanox Technologies, Ltd. (MLNX)

- NASDAQ
  • Aug. 6, 2013, 12:30 PM
    • With servers running IBM's (IBM -2.2%) Power CPUs (sales -25% Y/Y in Q2) losing share to systems using Intel's (INTC -0.5%) Xeon server CPUs, IBM is forming the OpenPower Consortium, an alliance through which Big Blue will license its Power architecture and related technologies to 3rd-parties, in an effort to create a broad IT hardware ecosystem around them.
    • Initial partners include Nvidia (NVDA - its GPUs and CUDA computing platform will support Power), Mellanox (MLNX - InfiniBand hardware support is a good bet), Google, and Taiwanese server OEM Tyan,
    • Google and Tyan's support is noteworthy, given Google and many Internet peers have spurned IBM and other server giants in favor of Intel-based commodity gear made by the likes of Tyan to the specifications of Internet/cloud firms.
    • Google: "The consortium has the potential to establish Power architecture as a viable option for applications running within Google's data centers." Software support remains a near-term challenge.
    • In downgrading IBM to Underperform, Credit Suisse cites mainframe and (Power-based) UNIX hardware headwinds, weakening free cash flow, and a spending shift towards cloud services.
    • Previous: Furloughs for U.S. hardware workers
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  • Jul. 24, 2013, 4:10 PM
    Mellanox Tech (MLNX): Q2 EPS of $0.30 beats by $0.11. Revenue of $98.2M beats by $0.94M. (PR)
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  • Jul. 24, 2013, 12:10 AM
    Notable earnings after Wednesday’s close: AEM, AIZ, AKAM, AMCC, AMP, ANGI, ARII, ASGN, AVB, BDN, BIDU, CA, CAKE, CCI, CDNS, CLGX, CMO, CMRE, COG, CROX, CTXS, CYH, EFX, EGHT, EQIX, ETFC, FB, FBHS, FFIV, FLOW, FLS, FOE, FTNT, GGG, GPRE, HRC, IM, INFN, ITC, ITMN, KEX, LOGI, LSI, LVS, MLNX, MTSN, NFX, OI, OII, ORLY, PDH, PMTC, QCOM, RJF, RRC, RT, RYL, SCI, SGMO, SKX, SLG, SQNM, SRCL, SUSQ, SWFT, SYNC, TAL, TCBI, TER, TEX, TQNT, TRIP, TSCO, TWI, V, VAR, WCRX, WDC, WLL, WRE, WSH, XOOM, ZNGA
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  • Jul. 23, 2013, 5:35 PM
    Notable earnings after Wednesday’s close: AEM, AIZ, AKAM, AMCC, AMP, ANGI, ARII, ASGN, AVB, BDN, BIDU, CA, CAKE, CCI, CDNS, CLGX, CMO, CMRE, COG, CROX, CTXS, CYH, EFX, EGHT, EQIX, ETFC, FB, FBHS, FFIV, FLOW, FLS, FOE, FTNT, GGG, GPRE, HRC, IM, INFN, ITC, ITMN, KEX, LOGI, LSI, LVS, MLNX, MTSN, NFX, OI, OII, ORLY, PDH, PMTC, QCOM, RJF, RRC, RT, RYL, SCI, SGMO, SKX, SLG, SQNM, SRCL, SUSQ, SWFT, SYNC, TAL, TCBI, TER, TEX, TQNT, TRIP, TSCO, TWI, V, VAR, WCRX, WDC, WLL, WRE, WSH, XOOM, ZNGA
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  • Jul. 22, 2013, 2:33 PM
    Mellanox (MLNX -5.3%) dives as Intel (INTC -1.2%) announces it plans to launch low-power Xeon CPUs in 2014 that integrate a large amount of I/O, networking, and acceleration functionality. The chips, based on Intel's next-gen (14nm) Broadwell architecture, are meant to be more powerful complements to upcoming Atom server CPUs. Mellanox investors have already been on edge over Intel's plans to integrate more I/O and networking features onto its CPUs, with the goal of enabling more modular server architectures. The upcoming Atom and Xeon parts will compete with AMD's pending Seattle (ARM-based) and Berlin CPUs, as well as chips from several ARM server upstarts, in a fast-growing market for microservers and other dense/low-power server architectures. (Mellanox acquisitions: I, II)
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  • Jul. 1, 2013, 9:53 AM
    Mellanox (MLNX +1.7%) strengthens its 100G hand some more by acquiring IPtronics, a Danish maker of components for high-speed optical interconnects, for $47.5M in cash. Mellanox says the deal, which follows its May purchase of silicon photonics interconnect firm Kotura, will help it deliver "end-to-end optical interconnect solutions at [100G] and beyond." Both purchases appear aimed at dealing with the long-term threat posed by Intel (INTC), which (with the help of acquisitions) wants to integrate InfiniBand controllers onto its server CPUs, and bake 100G silicon interconnects into its server platforms.
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  • Jun. 26, 2013, 9:41 AM
    Tech ratings change roundup: 1) Mellanox (MLNX +2.7%) has been upgraded to Buy by Stifel. 2) NetGear (NTGR -4.6%) has been downgraded to Sell by Goldman. 3) ARM (ARMH +1.1%) has been upgraded to Buy by Benchmark, and to Overweight by Piper. 4) Rackspace (RAX +5%) has been upgraded to Outperform by Wells Fargo. 5) Splunk (SPLK +1.9%) has been started at Outperform by Wedbush. 6) Allot (ALLT +3.7%) has been upgraded to Outperform by Wedbush, and to Buy by Wunderlich. 7) Rubicon (RBCN -3.3%) has been downgraded to Neutral by JPMorgan. 8) Orbitz (OWW +4.1%) has been started at Buy by Ascendiant Capital. 9) Lam Research (LRCX -1.4%) has been upgraded to Buy by BofA/Merrill. 10) Adobe (ADBE +2.4%) has been upgraded to Buy by Jefferies.
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  • Jun. 25, 2013, 11:41 AM
    Mellanox's (MLNX +8.3%) InfiniBand hardware is likely being used in Microsoft's new $677M Iowa data center expansion project, says Clal Finance's Jonathan Kreizman in a note that has led shares to take off. Kreizman observes Mellanox has been expecting major deals from Internet/cloud services providers, and stated on its Q1 call it sees major deals arriving in 2H. He adds InfiniBand's "special advantages" (i.e. high performance, low latency, quality-of-service) become more valuable the larger a data center becomes. Mellanox has long touted the performance of its hardware within servers running Microsoft's SQL Server database.
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  • Jun. 18, 2013, 6:39 PM
    Mellanox (MLNX) responds to a shareholder vote forcing CEO Eyal Waldman to give up the role of chairman by naming lead director Irwin Federman its new chairman. Federman is a partner at VC firm U.S. Venture Partners, and also serves on SanDisk and Check Point Software's boards. Also: Mellanox boasts the number of systems on the TOP500 supercomputer list using its FDR InfiniBand hardware has risen 3.3x over the last year, and that 205 of the systems uses InfiniBand.
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  • Jun. 7, 2013, 9:33 AM
    Topeka launches coverage on the chip sector. NXP (NXPI -1.5%), Broadcom (BRCM +1.3%), Amkor (AMKR +0.5%), Freescale (FSL -0.5%), and Rambus (RMBS +0.5%) have been started at Buy, and ARM (ARMH -2.1%), Qualcomm (QCOM -2%), Applied Micro (AMCC +0.3%), and Mellanox (MLNX +1.9%) have been started at Hold. Mellanox isn't exactly a chip stock, though the company does use internally-developed ASICs in its adapter cards and switches. Qualcomm may be pressured this morning by reports of Samsung Galaxy S4 order and forecast cuts (I, II)
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  • Jun. 3, 2013, 1:49 PM
    Mellanox (MLNX -4.5%) shareholders shot down a proposal at the company's annual meeting (transcript) to allow CEO Eyal Waldman to remain chairman. The news is pressuring shares of the InfiniBand adapter card/switch maker, which fell on Friday thanks to a UBS downgrade note that predicted such an outcome. Look for Mellanox to now begin a search for an independent chairman.
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  • May 31, 2013, 1:08 PM
    More on UBS' downgrade of Mellanox (MLNX -7.1%): Analyst Steve Milunovich is worried about Mellanox's plans to delist from the Tel Aviv exchange in 90 days, given an estimated 20%-25% of its shares are held in Israel, and the move could prompt Israeli ETFs/funds to jump ship. He also expects a motion to allow Eyal Waldman to remain both chairman and CEO to be voted down next week, forcing Mellanox to find a new chairman or CEO. Lazard is defending Mellanox, arguing the delisting will save the company $200K-$300K/year and will affect 4%-5% of shares at most.
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  • May 31, 2013, 9:14 AM
    Mellanox (MLNX) -3.9% following a downgrade to Neutral from UBS. In spite of bad earnings news, shares have largely been in a holding pattern in 2013 after tumbling last fall.
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  • May 15, 2013, 5:05 PM
    Mellanox (MLNX) is acquiring Kotura, a developer of silicon photonics interconnect tech, for $82M in cash. The deal, which is expected to be accretive to 2014 EPS by $0.01-$0.03, is noteworthy in light of Intel's (INTC) efforts to both develop both InfiniBand solutions and 100G silicon photonics interconnects for its server CPU platforms, with the goal of creating more modular server architectures. This purchase seems aimed at trying to meet that long-term threat.
    | 2 Comments
  • May 13, 2013, 7:31 AM
    Mellanox (MLNX) is cut the Hold at Barclays with price target lowered to $60. Among the concerns are weakness at H-P, IBM's potential sale of its server business to Lenovo (now in doubt), and a 2014 Intel upgrade which could pause PC purchases. Shares -1.8% premarket.
    | 1 Comment
  • Apr. 25, 2013, 9:12 AM
    Premarket gainers: MPG +23%. INFN +19%. AKAM +17%. FIO +16%. CLF +8%. YNDX +7%. NXST +7%. NOW +7%. CAB +6%. CAKE +6%.
    Losers: XIDE -15%. WHX -14%. INTU -13%. ZNGA -9%. MLNX -8%. AVEO -7%. CTXS -7%.
    | 1 Comment
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Company Description
Mellanox Technologies Ltd designs, manufactures and sells interconnect products and solutions that facilitate data transmission between servers, storage systems and communications infrastructure equipment and other embedded systems.