VMware, Inc. (VMW) - NYSE
  • Jul. 12, 2013, 9:12 AM
    VMware (VMW) -1.4% thanks to a downgrade to Equal Weight from Evercore's Kirk Materne, who becomes the latest in a parade of analysts to voice concerns about growth and competition. Materne, who is lowering his PT to $75 from $85, thinks VMware's long-term competitive position related to Amazon Web Services, Windows Azure, and OpenStack remains uncertain. Craig-Hallum cut estimates earlier this week for similar reasons. Q2 results are due on July 23; shares -25% YTD.
    | Jul. 12, 2013, 9:12 AM
  • Jul. 10, 2013, 6:30 PM

    EMC/VMware (EMC, VMW) roundup: 1) EMC has refreshed its Data Domain and Avamar deduplication products. New mid-range Data Domain systems are said to offer major performance/capacity improvements over existing hardware, and Avamar has been updated to better support Data Domain and virtualization environments. RBC recently reported Amazon's S3 service is pressuring Data Domain. 2) FBN (Outperform) says its end-of-Q2 storage channel checks were better than expected. EMC's Q2 results are due on July 24. 3) Craig-Hallum has cut its VMware estimates. Echoing others on the Street, CH thinks license growth is pressured by market saturation and competition from Amazon, Microsoft's Hyper-V, Cisco's Intelligent Automation and Cloupia, and OpenStack.

    | Jul. 10, 2013, 6:30 PM
  • Jul. 8, 2013, 11:10 AM

    Rackspace (RAX) hires Rick Jackson, until recently VMware's (VMW) chief marketing officer, to be its new CMO. No word on the status of Suaad Sait, who (for now) is still listed as Rackspace's CMO on its site; Rackspace has been investing heavily to market/promote its OpenStack cloud infrastructure offerings. Jackson stepped down as VMware's CMO in March, and subsequently left the company. Marketing exec Robin Matlock is serving as interim CMO while the company searches for a successor. In the last two years, VMware has also seen its CFO, CTO, and other key execs depart, as the company contends with a CEO change, a restructuring, and the Pivotal spinoff. Update: Another defection: Scott Musson, formerly VMware's director of global alliances, is now Red Hat's (RHT) VP of global alliances.

    | Jul. 8, 2013, 11:10 AM | 1 Comment
  • Jul. 3, 2013, 4:10 PM

    Some downbeat EMC reports: 1) A source tells The Register EMC's strategy for object storage is "confusing, flawed, and inefficient … and causing internal fireworks." In addition to its Centera and Atmos lines, EMC's growing Isilon scale-out NAS storage family supports object storage, as does its new ViPR platform for managing EMC and non-EMC hardware/services. 2) RBC reports a software update for EMC's mid-range VNX line has been delayed, and that the company's Data Domain deduplication hardware business (has been growing fast) is "facing incremental headwind" from Amazon's (AMZN) S3 storage service. 3) Network World reports VMware (VMW) sales exec Mike Clayville has left to become Amazon's enterprise cloud sales chief, making him the latest in a line of execs to depart (previous).

    | Jul. 3, 2013, 4:10 PM | 2 Comments
  • Jul. 1, 2013, 2:50 PM

    Acacia (ACTG +5.2%) outperforms after acquiring 4 fresh sets of patent portfolios (I, II, III, IV), and announcing licensing deals (I, II, III) with VMware (VMW) and 2 other companies. The patent purchases are related to consumer electronics content security, printing tech, and high-speed circuit interconnect and display control. The non-printing patents were acquired from an unnamed "major semiconductor technology company." The VMware deal resolves an existing infringement suit.

    | Jul. 1, 2013, 2:50 PM
  • Jun. 28, 2013, 2:24 PM

    In addition to IBM, several other enterprise IT names are pressured by Accenture's (ACN -10.3%) May quarter revenue miss (caused by consulting weakness), light guidance, and commentary about soft European demand. SAP (SAP -3.6%), Autodesk (ADSK -2.3%), Qlik (QLIK -2.1%), and Informatica (INFA -1.8%), all of whom have strong European exposure, are among the casualties. Other decliners include VMware (VMW -1.5%), Salesforce (CRM -1.9%), Teradata (TDC -1.8%), and CommVault (CVLT -3.9%). In his downgrade note on Accenture, Raymond James' Brian Gesuale mentioned "ERP [software consulting] work is showing signs of commoditization and short-term projects remain on the shelf." That might not be going over well with SAP investors.

    | Jun. 28, 2013, 2:24 PM | 2 Comments
  • Jun. 26, 2013, 6:02 PM
    Salesforce (CRM) poaches VMware (VMW) exec Tod Nielsen to head its market-leading Heroku cloud app platform (PaaS) unit. Nielsen was in charge of VMware's rival Cloud Foundry business, which is now part of the Pivotal spinoff. Nielsen says he wants Heroku, which also competes with Windows Azure and Google's App Engine, to be differentiated from Salesforce's Force.com PaaS unit in customers' eyes. "Heroku is for building real apps, mobile apps, while Force.com is for building things like report writers and extensions to existing apps." Marc Benioff stated on Salesforce's FQ4 call 2.7M apps have have been developed on Heroku, and 360K on Force.com.
    | Jun. 26, 2013, 6:02 PM | 1 Comment
  • Jun. 24, 2013, 3:58 PM

    Oracle (ORCL +0.2%) and Microsoft (MSFT +1.5%) make their partnership official. Oracle's database software will not only "receive full support from Oracle" when running on Microsoft's Windows Azure cloud app/infrastructure platform, but also when used with its Hyper-V virtualization platform. Java apps and Oracle's (Java-based) WebLogic app server will also be supported for use with Azure and Hyper-V. The deal could intensify the competitive pressure placed by Hyper-V on VMware's (VMW -2.5%) vSphere virtualization platform, and (to a lesser extent) by Oracle's database software and WebLogic on IBM's DB2 database and WebSphere app server. (PR)

    | Jun. 24, 2013, 3:58 PM | 1 Comment
  • Jun. 21, 2013, 11:40 AM

    As was the case in March, cloud competition is in focus as Oracle (ORCL -8.6%) dives following a revenue/EPS miss marked by soft new license/cloud subscription growth. "Seasonally, the fourth quarter is their biggest ... software quarter and we have a miss here on software," observes Edward Jones' Josh Olson. Goldman's Heather Bellini is defending Oracle, arguing the shortfall is "likely more macro driven than company-specific." Rivals SAP (SAP -3.3%), VMware (VMW -3.2%), and Citrix (CTXS -2.1%) are underperforming. Larry Ellison mentioned on the earnings call Oracle plans to launch an in-memory version of its 12c database to take on SAP's Hana; Oracle has thus far taken a hardware-centric approach to competing with Hana.

    | Jun. 21, 2013, 11:40 AM
  • Jun. 11, 2013, 12:35 PM

    VMware (VMW +2%) takes aim at Splunk (SPLK +1.1%) by launching vCenter Log Insight, a software tool for managing/analyzing the reams of log data produced by IT hardware and software to troubleshoot problems lower admin costs. VMware asserts Log Insight, which is the product of a 2012 acquisition and competes with the market-leading Splunk Enterprise (analyzes log data and many other file types), can be deployed in minutes, is tightly integrated with VMware's vCenter Operations software, and natively supports the company's vSphere virtualization software. (PR)

    | Jun. 11, 2013, 12:35 PM | 1 Comment
  • Jun. 7, 2013, 11:17 AM
    Drexel Hamilton becomes the latest sell-side firm to turn on VMware (VMW -1%), cutting shares to Hold on cash flow growth concerns (no doubt spurred by EMC's guidance). That's leading VMware to give back a small portion of the big gains it saw yesterday thanks to COO Carl Eschenbach's conference talk. Berenberg and Deutsche have also downgraded VMware this week.
    | Jun. 7, 2013, 11:17 AM
  • Jun. 6, 2013, 9:09 AM
    Oracle (ORCL), Citrix (CTXS), and VMware (VMW) are downgraded to Sell by Berenberg. Oracle and Citrix are off fractionally, while VMware is up 3.1% in response to COO Carl Eschenbach's reassuring talk at a BofA/Merrill conference. Oracle's FQ4 report arrives on June 20.
    | Jun. 6, 2013, 9:09 AM
  • Jun. 5, 2013, 4:38 PM
    VMware (VMW, EMC) +1.6% AH after COO Carl Eschenback tries to use a BofA/Merrill conference talk to reassure investors on edge over EMC's cash flow guidance and downbeat sell-side commentary. Eschenbach has reiterated VMware's Q2/2013 guidance and operating cash flow targets (the latter might be below consensus), is optimistic about a 2H demand pickup, and claims the vCloud Suite is seeing good momentum. Shares fell 2.5% in regular trading following Deutsche's downgrade.
    | Jun. 5, 2013, 4:38 PM | 1 Comment
  • Jun. 5, 2013, 9:36 AM

    VMware (VMW -0.9%) gets cut to Hold by Deutsche's Nandan Amladi, who's worried about competition, billings growth, and execution. VMware's vSphere virtualization platform "continues to face pricing pressures from [Microsoft's] Hyper-V," and the rise of OpenStack is "driving up adoption" of Citrix's (CTXS) Xen virtualization software and the Linux-based KVM. Lastly, checks "indicate a fair amount of interest" in Microsoft's (MSFT) System Center management tools, which compete with parts of VMware's vCloud Suite. IDC estimates VMware's virtualization share fell to 56.8% in 2012, and Microsoft's rose to 27.5%. (cash flow guidance) (Craig-Hallum)

    | Jun. 5, 2013, 9:36 AM | 6 Comments
  • Jun. 3, 2013, 4:20 PM

    Though VMware's (VMW -2.4%) management has declared the cash flow guidance recently provided by parent EMC inaccurate (due to differences in accounting), subsequent talks with management "imply that they are not entirely comfortable with Street numbers," says Nomura's Rick Sherlund, following up on his Friday note. Management's remarks suggest op. cash flow growth will match op. income growth - Sherlund had been forecasting the former would grow 15%, and believes the consensus for the latter was 24%. He doesn't know whether the shortfall is due to "high receivables or working capital," or demand issues, but thinks the lack of clarity makes for an "awkward situation." Investors don't seem thrilled either.

    | Jun. 3, 2013, 4:20 PM
  • May 31, 2013, 12:51 PM

    VMware's (VMW +1.1%) guidance is unchanged, claims Nomura's Rick Sherlund after talking with management about yesterday's EMC cash flow forecasts, which included VMware forecasts that were well below consensus. Sherlund points out EMC and VMware recognize cash flow differently, and says channel checks point to a roughly in-line Q2. But he is concerned about a dearth of specialists and partners to push VMware's huge vCloud Suite (covers virtualization, data center management, and cloud management software), which underpins the company's efforts to grow in the face of slowing vSphere virtualization software demand.

    | May 31, 2013, 12:51 PM
Company Description
VMware, Inc. provides virtualization infrastructure solutions utilized by organizations to help transform the way they build, deliver and consume information technology resources. Its virtualization infrastructure solutions, which include a suite of products designed to deliver a... More
Sector: Technology
Industry: Technical & System Software
Country: United States