Arris Group Capitalizing on Cable

Arris Group (ARRS: Nasdaq) By FBR Capital Markets ($8.02, May 21, 2008)

WE ARE UPGRADING SHARES of Arris Group (ticker: ARRS) to Outperform from Market Perform and raising our 12-month price target from $9 to $12.

Our upgrade is based on a significant improvement in confidence around Arris' planned deployments of its Docsis 3.0 CMTS (cable modem termination system) at Comcast (CMCSA) and other cable operators, following our conversations with management and other industry representatives at the Cable Show earlier this week. Our questions heading into the show focused on the economics of the 3.0 platform and the timing of ...