But at these prices most of the damage has been done. We probably will have to wait for a major recovery, but a bounce could come any time. The Internet is here to stay, and so is Network Associates. At least, that is the logical conclusion since this is the leading supplier of computer security products, with a very strong position in other network management software as well. There s plenty of competition, but with its entrenched position NETA will continue to generate cash flow and, eventually, renewed earnings growth.
Offerings fall into four general categories.
The virus scans and virus shields are used by individuals as well as giant corporations. In addition, there are network and Internet security systems to protect against all the ills and intrusions networks are prone to. The Sniffer product lines help detect, analyze and solve network problems automatically. Finally, there are ancillary products and services to help users take maximum advantage of the software. These have been great businesses, with sales climbing 10-fold in three years.