Cramer’s Playbook on the Switch & Data IPO

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By Douglas A. McIntyre Published

On CNBC’s MAD MONEY tonight, Cramer wanted to preview an IPO you’ll hear about for all next week.  This is Switch & Data that will trade under SDXC on NASDAQ.  SDXC is a network neutral co-location services provider and is the infrastructure builder for your broadband provider.  Its Underwriters are Deutsche Bank Securities, Jefferies & Co., CIBC World Markets, Lazard Capital Markets, Raymond James, RBC Capital Markets and Merriman Curhan Ford & Co.  GOOG YHOO LVLT AKAM are some of its customers.  Equinix (EQIX) is a competitor and it doubled last year, so this is one everyone wants.

It is expected $14.00 to $16.00 and Cramer thinks it will get a premium pricing, he says you can buy it up to $20.00 and you sell it over $24.00.  But he says it would have to go to $28.00 before it has the same valuation ratios that EQIX has.

Some active traders aren’t going to be too happy that he just touted this name and gave a game plan on it.

Jon C. Ogg
February 2, 2007

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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