Investors seeking an undervalued tech junior should be taking a long look at Edgewater Wireless Systems (Edgewater Wireless Systems Stock Quote, Chart, News: TSXV:YFI), Echelon Wealth Partners analyst Ralph Garcea says. In a research report to clients today, Garcea transitioned Edgewater Wireless from his Watch List to Full Coverage, assigning a "Speculative Buy" rating and a one-year price target of $1.25 on the stock, implying a return of 178 per cent at the time of publication. Ottawa-based Edgewater Wireless develops and manufactures multi-channel single radio wireless communications equipment and wi-fi technologies. Garcea explains why the company's solutions will be in accelerating demand, even against larger competitors. "Traditional Wi-Fi, from the likes of Qualcomm, Broadcom, or Quantenna , use a single channel radio architecture. And like a single lane road, a single channel radio gets bogged down when there is traffic," he notes. "Edgewater’s patented approach, called WiFi3, creates a multi-lane highway for Wi-Fi and delivers multiple, concurrent channels of transmit and receive from a single, Wi-Fi standards compliant radio. This means devices will compete less for bandwidth. The Company’s products include WiFi3 powered access point (AP) solutions (www.aera.io), silicon solutions and software targeting high-density Wi-Fi and IoT applications. YFI recently announced that it is working with Kroger (KR-US, NR) to help power smart retail technology at its stores (~2,800) across the US – with an initial order for $1.1M. The Company is also working with four out of the top five largest cable operators including MediaCom (Private)." Garcea thinks Edgewater will generate Adjusted EBITDA of negative $1.7-million on revenue of $200,000 in fiscal 2018. He expects those numbers will improve to an EBITDA loss of $1.3-million on a topline of $2.7-million the following year. Garcea says upcoming catalysts for Edgewater include the anticipated conversion of pilot projects into announced contracts, global OEM design wins, and IP licensing deals.