- Guilt by association could be driving down the shares of Violin Memory (VMEM -4.2%), suggests Wunderlich's Kaushik Roy, who believes investors are mistakenly selling because of Fusion-IO's FQ3 results on Wednesday (NMBL is being hit as well).
- "[Fusion and Violin] both use flash memory but Fusion-IO is primarily a component provider and Violin is a systems provider. Comparing Violin with Fusion-IO is somewhat similar to comparing EMC with Seagate. EMC makes systems whereas Seagate makes components."
- Roy reiterates his Buy rating on Violin and $6 price target.