A note out from Gartner on software-as-a-service (SaaS) included Callidus (CALD) among the names mentioned. That surprised me. CALD is a two bit software company and would not normally be mentioned in the company of global software players.
That having been said, I owned the company in my personal account a few years ago (probably around these levels, but I can't remember exactly) and always thought that they had a good position in a niche market (sales performance management/incentive compensation applications). The risk for them is a big boy developing a similar tool and running rough-shod over them. The upside was always the hope that a big boy would take them out to get into the space.
Everytime I look at these guys they are struggling to make any money (and I am not sure they ever have...except maybe pre-IPO...what a have). They've got a dollop of IPO cash that has been sitting on their balance sheet forever and gives them life. One day they are either going to have to right size the business, or sell it off. In the meantime, management sits there with a bloated cost structure, not caring about the world around them, because their paycheck is not going anywhere (at least, not anytime soon).
Disclosure: No position in this stock in either my personal or professional portfolios.
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