The FOCUS Telecom Technology Index (TTI) continued its pattern of alternating gains and losses. This past three months saw a positive upswing as the sector gained 6.1%. While a solid gain, it still lagged the broader indices as the S&P 500 was up 10.9% and the NASDAQ was up 12.5% over the same time frame. The TTI is also in positive territory for the last twelve months with a gain of 5.8%. However, this compares unfavorably to both the S&P 500 and the NASDAQ, which gained 28.4% and 40.5%, respectively, over the past year. Sector multiple performance was mixed. The revenue multiple increased from 2.3x a year ago to 2.4x currently, while the EBITDA multiple fell from 12.9x to 11.6x over the past year.
Rich Pierce, FOCUS Managing Director, has more than 20 years of investment banking experience advising middle market clients on a variety of mergers and acquisitions and capital raising transactions. During that time, Mr. Pierce’s primary emphasis has been on serving clients in the telecommunications industry including providers of network related hardware and software products, wireless and wireline telecommunications service providers and network engineering and construction companies.
Prior to joining FOCUS, Mr. Pierce was a Director in the Communications and Media group of Stifel Nicolaus, a nationally recognized middle market investment bank. In this capacity he led Stifel Nicolaus’ entry into the networking technology space while also working with clients in a variety of other telecommunications-related areas. Mr. Pierce was also a member of the Telecommunications group at Legg Mason. While at Legg Mason he gained significant experience working with telecommunications service providers, particularly those serving secondary and rural markets. Mr. Pierce has been a speaker for a variety of industry associations including the Rural Cellular Association (RCA), the National Telecommunications Cooperative Association (NTCA) and the Fiber to the Home (FTTH) Council, and he has also been recognized as a testifying expert in the wireless industry. Before becoming an investment banker, Mr. Pierce had a successful seven year career as an officer in the U.S. Army Military Intelligence Corps. In addition to working in a number of tactical level assignments in the U.S. and Europe, he is a graduate of the Army’s Airborne and RANGER training programs.
Mr. Pierce graduated from Brown University with a B.S. in Electrical Engineering and received his M.B.A. in Finance from the University of Pennsylvania’s Wharton School, where he graduated with distinction.
