From Baron Funds' second quarter letter:
Mellanox Technologies Ltd. (MLNX, Financial), the leading supplier of end-to-end connectivity solutions for servers and storage in modern data centers, rose 69.3% during the second quarter (and is up about 30% more after its stellar second quarter report). Over the last few quarters, Mellanox has experienced an inflection point in the company's growth rate and adoption of its InfiniBand connectivity products. Indeed, the company grew revenues 61% in the first quarter, 111% in the second quarter, and the mid-point of its third quarter guidance calls for 124% growth. We believe this inflection point resulted from connectivity emerging as a key bottleneck for modern cloud-based IT infrastructure and a lack of competition in high-speed connectivity solutions. (Gilad Shany)
Mellanox Technologies Ltd. (MLNX, Financial), the leading supplier of end-to-end connectivity solutions for servers and storage in modern data centers, rose 69.3% during the second quarter (and is up about 30% more after its stellar second quarter report). Over the last few quarters, Mellanox has experienced an inflection point in the company's growth rate and adoption of its InfiniBand connectivity products. Indeed, the company grew revenues 61% in the first quarter, 111% in the second quarter, and the mid-point of its third quarter guidance calls for 124% growth. We believe this inflection point resulted from connectivity emerging as a key bottleneck for modern cloud-based IT infrastructure and a lack of competition in high-speed connectivity solutions. (Gilad Shany)
