TD Securities Maintain Buy rating and $4.50 12-Month TargetI still like the potential and will continue to hold. Here is TD's summary: April 8, 2016 TD Securities : Daniel Chan CFA ; Justin Krew (Associate) Recommendation: Buy (unchanged) 12- month target $4.50 (unchanged) Sandvine Corp. (SVC-T) C$2.66 Sales Investments Bearing Fruit Event Sandvine reported in-line Q1/FY16 results. Revenue of $34.2 million was in line with us and consensus at $33.6 million. EPS of $0.04 was in line with our expectations, but slightly higher than consensus at $0.03. Impact: NEUTRAL Investments in sales could already be bearing fruit. Revenue grew by 5% y/y in the quarter, the highest growth rate in over a year, and Sandvine had 22 new customers, the most in two years. We expect this momentum to continue as Sandvine holds its opex constant. 100 gigabit Ethernet (GE) upgrade cycle still in early stages. Only 20 of Sandvines 300 customers have implemented Sandvines 100GE. Although not all of Sandvines customers will be early adopters, this represents a penetration rate of only 7%. Packet Intelligence LLC (PIL)s patent infringement allegations seem to have no impact on capital deployment programs. The company repurchased 1.4 million shares for $3.3 million in the quarter and continued to repurchase 1.1 million shares for $2.3 million in Q2/FY16 so far. TD Investment Conclusion We believe that the 100GE upgrade cycle will support near-term growth, while subscriber and NFV offerings will continue to support long-term growth. With 50% of the share price in cash and the shares trading at a significant discount to peers and historical multiples, we are maintaining our BUY rating. Our target price remains unchanged at C$4.50.