Even with the recent supply issues of competitor OCZ Technology (OCZ), Fusion-io (FIO) remains a market leader so far unaffected by the supposed supply issues in the solid state drive (SSD) sector. The stock is generally considered expensive, but once compared to other tech stocks, the relative valuation in the sector and the stock appears clearer.
The company is a leader in delivering storage solutions that accelerate virtualization, databases, cloud computing, and big data. The sector is one of the fastest growing around, with the two leading companies reporting revenue growth in the 80% range recently. But why are the companies trading at lower valuations than other hot tech stocks?
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