FireEye (FEYE) appears stuck as it attempts to reaccelerate the growth narrative that has propelled it in recent years. Like the Icarus paradox, the reality that the company is transitioning from the growth phase into the matured phase means investors will have to judge it using the same yardstick that has propelled it in recent years. Given the persistent lack of profitability, now is not a good time to add more shares.
Though valuation has never been more attractive, the possibility exists that the stock could trade into the single-digit range if profitability