GigaBeam's Order Book, Partnerships Give Reason To Buy (GGBM)

| About: GigaBeam Corp. (GGBM)
This article is now exclusive for PRO subscribers.

On February 15, 2006, with the stock selling at $9.00 per share, we said that there was no compelling reason to buy Gigabeam Corp. (GGBM), a manufacturer of wireless point-to-point communications equipment designed to operate in the 71-76 GHz and 81-86 GHz radio spectrum bands, which were authorized by the FCC, in October 2003, for commercial use.

At the time, our investment thesis argued that: "although the ability of GigaBeam’s management team to integrate its WiFiber architecture with component suppliers was impressive, the backbone of corporate to bring costs in line and to reach breakeven or profitability was equally unimpressive."

Looking ahead, we went on to say, "GigaBeam was but one of many WiFiber companies with cost-efficient “bridging