The company's share price has crashed, first on disappointing Q3 figures, then on the proposed acquisition of ECI.
We think the selloff on the Q3 figures is not really justified, and have made the shares quite cheap.
However, their proposed acquisition of ECI is a risky bet. The rationale for the acquisition is clear, but the financial foundation leaves little room for error, in our view.
It has not been a good year for Ribbon Communications (RBBN) with the shares down 35.7% last year:
After being range bound for most of the year, the crash happened in two installments: