NETGEAR: Gaining from Growth in Networking Products

A Boston presenter recommended NETGEAR (NASDAQ: NTGR, $31.15) as a buy. This developer of networking and security products for home and small business markets is capitalizing on the growing demand for routers, switches, and security software and devices, as both consumers and small businesses are rapidly increasing their consumption and sharing of digital media. A lean business model allows the company to maintain margins in a fiercely competitive space, but NETGEAR's higher reliability and quality remains the key to its prospects going forward. The company is led by a very experienced management team. A pristine balance sheet is another plus for potential investors. The company introduced 80 new products last year and remains a leader in innovation in this segment, with another 20 products marking their debut this quarter.