Harmonic is a video infrastructure company with a market cap of $390 million. It offers solutions for cable edge and access, as well as video processing, production, and play-out. Harmonic helps its customers to efficiently create, prepare, and deliver differentiated, high-quality video services while simplifying end-to-end asset management, reducing capital and operating expenses, and streamlining workflows.

The company has recently shifted its focus to software services and deferred subscription revenue. Third-quarter sales have climbed 21% year-over-year, but its losses widened from $0.05 to $0.21 over the same time frame. However, its outlook for the fourth quarter is solid, and I expect this company to continue to improve.