Mon, Feb. 9, 2:55 PM
- Today's notable tech gainers include 3D printer maker ExOne (XONE +6%), data center switch vendor Arista (ANET +4.2%), solar microinverter maker Enphase (ENPH +6.1%), ID theft-protection services firm LifeLock (LOCK +6.8%), voice processor developer Audience (ADNC +10.3%), contract manufacturer Multi-Finline (MFLX +10.2%), and cloud file-sharing platform/recent IPO Box (BOX +9.1%).
- Notable decliners include flash storage array vendor Violin Memory (VMEM -5.6%), ultracapacitor maker Maxwell (MXWL -6.3%), SMB Web services provider Wix.com (WIX -4.8%), salvage auction site Liquidity Services (LQDT -5.4%), and carrier billing software/cloud services provider Synchronoss (SNCR -5.6%). The Nasdaq is down 0.3%.
- LifeLock reports earnings tomorrow afternoon. Audience is four days removed from beating Q3 estimates and offering in-line guidance. Arista is reversing its Friday's losses, and Box is adding to the Friday gains that came after a positive Jim Cramer mention.
- Synchronoss is adding to the losses seen last week after the company offered cautious 2015 cloud revenue guidance to go with a Q4 beat, and Maxwell to the losses seen due to the soft Q1/2015 guidance provided with a Q4 beat. Liquidity is giving back some of last week's huge post-earnings gains. Wix reports on Wednesday morning.
- Earlier: GoPro, Yelp see more post-earnings pain
- Earlier: Chinese solar stocks rally
Dec. 18, 2014, 2:04 PM
- With the help of stronger-than-expected hardware sales, Oracle (ORCL +9.2%) beat FQ2 estimates in spite of a 400 bps forex headwind (twice what was originally expected). FQ3 guidance was conservative after taking forex pressures into account.
- The numbers have been good enough for Oracle to surge to new highs and receive a slew of target hikes, and to lead many enterprise tech names to outperform amid a big market rally. The Nasdaq is up 1.9%.
- Microsoft (MSFT +3.2%), Cisco (CSCO +2.3%), EMC (EMC +3.7%), VMware (VMW +5.1%), and beaten-down IBM (IBM +2.8%) are among the enterprise tech names outperforming today. Others: SPLK +4.6%. CA +3.5%. RHT +3.4%. VRNS +6.3%. PCTY +5.8%. JIVE +4.6%. VMEM +5.2%. SAAS +4.7%. BRCD +3.8%.
- Oracle's healthy cloud software numbers are drawing attention: While traditional software license revenue fell 4% Y/Y, its SaaS/PaaS revenue rose 41%. SaaS/PaaS bookings totaled $170M, and are expected to be "well over" $1B in FY16 (ends May '16). Fusion cloud app bookings rose over 100%.
- On the CC (transcript), Oracle performed its customary trash-talking of cloud app rivals. "We are clearly growing faster than Salesforce (CRM +4%) and were more than three times the size of Workday (WDAY +3.2%)." Both firms are posting solid gains.
- Oracle's numbers come as Bloomberg reports the Chinese government is looking to "purge most foreign technology from banks, the military, state-owned enterprises and key government agencies by 2020." IBM, Cisco, and other U.S. firms have already seen their Chinese sales fall sharply following last year's NSA spying uproar.
Nov. 26, 2014, 5:37 PM
Nov. 24, 2014, 6:02 PM
- Violin Memory (NYSE:VMEM) guides on its FQ3 CC for FQ4 revenue of $23M-$25M, above a $22.4M consensus.
- FQ3 product revenue was $16.9M, +19% Q/Q and -21% Y/Y. Service revenue was $4.8M, +10% Q/Q and -30% Y/Y.
- Excluding one-time charges, GAAP opex fell 32% Y/Y to $33.1M. Gross margin slipped to 54% from 55% in FQ2 and a year ago.
- Maxim's pre-earnings call paid off.
- FQ3 results, PR
Nov. 24, 2014, 5:43 PM
Nov. 21, 2014, 4:29 PM
- Maxim Group has launched coverage on Violin Memory (NYSE:VMEM) with a Buy rating and $8 target ahead of the flash storage system vendor's Monday FQ3 report. Shares rose 2.6% in regular trading.
- Violin, which has made big changes under new CEO Kevin DeNuccio, is up 29% YTD, but still down 43% from its $9 Sep. '13 IPO price.
Sep. 22, 2014, 1:45 PM
- High-beta tech stocks are selling off hard as the Nasdaq registers a 1.3% decline. The selling is broad-based, with Internet, solar, and enterprise tech stocks all well-represented among the ranks of major decliners.
- Major Internet decliners: BIDU -4.7%. ANGI -7%. YELP -5.9%. AWAY -5.1%. CHGG -5.9%. GRUB -5.8%. P -5.2%. Z -4.6%. TRLA -4.8%. ATHM -7.9%. BITA -7%. DANG -5.9%. WB -5.3%.
- Solar: FSLR -4.5%. SCTY -7.5%. SPWR -4.5%. DQ -7.6%. JKS -5.5%. ASTI -6.3%. ENPH -5.5%. CSIQ -4.8%.
- Enterprise: WDAY -5.4%. GIMO -6.7%. VMEM -7.7%. IMPV -4.8%. MKTO -4.9%. SPRT -5.1%. CSOD -5.5%.
- Others: HIMX -4.6%. SIGM -5.6%. WATT -9.7%. CYNI -5.3%. ADNC -5.7%. PXLW -5%. SWIR -5.8%. MITK -6%. OCLR -6%.
Sep. 19, 2014, 12:32 PM
- Down over 9% yesterday after announcing plans to sell $95M in convertible debt due 2019, Violin Memory (VMEM +4.3%) is rebounding after upsizing the offering to $105M (net proceeds are expected to total $100.8M) and setting deal terms.
- The debt carries an interest rate of 4.25%, and an initial conversion price of $5.62/share - a 22% premium to current levels. The initial purchaser has a $15M overallotment option.
Aug. 27, 2014, 4:52 PM
- Violin Memory's (NYSE:VMEM) product revenue totaled $14.2M in FQ2, +11% Q/Q but -40% Y/Y. Service revenue (driven by past deals) was $4.4M, -18% Q/Q and +52% Y/Y. The company continues facing tough flash storage array competition from the likes of EMC, IBM, H-P, and Pure Storage.
- Gross margin rose to 55% from 52% in FQ1 and 42% a year ago. GAAP sales/marketing spend -19% Y/Y to $15.1M; R&D spend -31% to $13M; G&A +27% to $5.2M. Job cuts and the recent sale of Violin's PCIe server flash module business helped lower costs.
- Violin is reiterating FY15 (ends Jan. '15) gross margin guidance of 52%-56%. Opex guidance has been narrowed to $118M-$122M from $115M-$125M.
- FQ2 results, PR
Jun. 16, 2014, 5:36 PM
Jun. 16, 2014, 9:46 AM
- SanDisk's $1.1B deal to acquire PCIe server flash module leader Fusion-io is giving a lift to hybrid storage array vendor Nimble Storage (NMBL +3.7%) and flash array vendor Violin Memory (VMEM +2.5%).
- Nimble also might be benefiting from an upgrade to Outperform from Macquarie. Shares failed to get a boost on Friday from an upgrade to Strong Buy from Raymond James. Both moves follow the end of Nimble's lockup expiration last Wednesday.
- Struggling Violin was reported in February to have held buyout talks with several firms. Activist investor The Clinton Group, which once had been calling for a sale, struck a deal with management in April.
Jun. 16, 2014, 9:15 AM
Apr. 25, 2014, 3:34 PM
- 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.
Mar. 17, 2014, 3:59 PM
- Ebrahim Abbasi, once the COO of Ethernet switch vendor Force10 (acquired by Dell) and broadband infrastructure vendor Redback Networks (acquired by Ericsson), has been named Violin Memory's (VMEM +6.8%) SVP of operations.
- Abbasi worked with new Violin CEO Kevin DeNuccio at Redback. His hiring comes two months after COO Dixon Doll, Jr. stepped down.
Mar. 13, 2014, 12:23 PM
- Wunderlich's Kaushik Roy has started coverage on Violin Memory (VMEM +9.1%) with a Buy and $6 PT. He considers the flash storage vendor's recent troubles surmountable, and notes new CEO Kevin DeNuccio "has a track record for transforming businesses."
- Roy has also assigned a Buy rating to storage giant EMC. Violin, reportedly on the block, sold off last week after its FQ4 numbers failed to impress.
Mar. 7, 2014, 9:12 AM
VMEM vs. ETF Alternatives
Violin Memory Inc provides all-flash storage arrays & appliances delivering application solutions for enterprises. Its FFA-based arrays & enterprise software solutions enhance enterprise agility & mobility revolutionizing economics with rapid ROI and TCO.
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