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Author:	[Investments] Topic: VMW
hoopsvader	View Space \| Friends \| Playbook \|
Veteran Joined: Mar 2011 Posts: 3018 Location: Djibouti	#1 Posted: 7/24/2012 11:26:23 PM Anyone understand SDN....with their new acquisition does VMW have a disruptive technology.
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hoopsvader	View Space \| Friends \| Playbook \|
Veteran Joined: Mar 2011 Posts: 3018 Location: Djibouti	#2 Posted: 7/25/2012 11:43:23 PM So I'm reading more about WMWare and finding that Cisco is going to be in real trouble if they don't do something. I think Cisco will have to buy WMW to remain viable or someone will buy them to stay ahead in cloud computing and the open stack. Any thoughts
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wallstreetcappers	View Space \| Friends \| Playbook \|
Covers Linesmen Joined: Feb 2003 Posts: 47732 Location: United States	#3 Posted: 7/26/2012 12:53:57 AM Why would CSCO pay premium prices for such a large and mature company? They have similar profit margins, VM sells at a more premium price to sales and profits than CSCO. Look at the chart on VM, it totally looks like it is going to roll over, pull up a 5 yr chart, its been hitting against 80 several times and watch out if she breaks 80 with some volume. I dont seem to recall CSCO paying this much for a company, it would be right now a near 40% market cap vs CSCO with no added premium. It does not look like the kind of acquisition they would make, it would be bad for CSCO shareholders and would not make sense to me.. BWDIK
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hoopsvader	View Space \| Friends \| Playbook \|
Veteran Joined: Mar 2011 Posts: 3018 Location: Djibouti	#4 Posted: 7/27/2012 10:52:50 AM QUOTE Originally Posted by wallstreetcappers: Why would CSCO pay premium prices for such a large and mature company? They have similar profit margins, VM sells at a more premium price to sales and profits than CSCO. Look at the chart on VM, it totally looks like it is going to roll over, pull up a 5 yr chart, its been hitting against 80 several times and watch out if she breaks 80 with some volume. I dont seem to recall CSCO paying this much for a company, it would be right now a near 40% market cap vs CSCO with no added premium. It does not look like the kind of acquisition they would make, it would be bad for CSCO shareholders and would not make sense to me.. BWDIK VMW off to the races, smashed thru that 88 resistance.
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cave0707	View Space \| Blog \| Friends \| Playbook \|
Veteran Joined: Oct 2009 Posts: 1047 Location: United States	#5 Posted: 7/27/2012 2:09:59 PM VMWare is another stock I track. I wish you the best with VMWare but regarding a CSCO acquisition ... I assume EMC Corp would have something to say about that. Double check the major holdings section. EMC bought VMWare for $600 mil (rough) in 2004 (I think). Spun them off and still own a significant piece of the VMWare pie. I'm not so sure it's in EMC's best interest to let VMWare be part of the CSCO empire. I could be wrong ... Best of luck with VMWare!!!
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hoopsvader	View Space \| Friends \| Playbook \|
Veteran Joined: Mar 2011 Posts: 3018 Location: Djibouti	#6 Posted: 8/9/2012 10:41:04 AM Major breakout at 98
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