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Stock Market & Financial Investment News

News Breaks
July 14, 2014
10:59 EDTCTXS, NTCT, RVBD, LOGMElliot reaffirms $21 Riverbed bid following Q2 warning
Shares of information technology solution developer Riverbed (RVBD) are falling after the company cut its second quarter adjusted EPS and revenue outlook. Afterward, investor Elliot Management announced that it is reaffirming its $21 per share bid for the company. WHAT'S NEW: Riverbed announced this morning that it now sees Q2 adjusted EPS to be at low end of a 26c-28c range, which is in line with analysts' consensus forecast of 27c. The company lowered its Q2 adjusted revenue view to $264M-$265M from $274M-$280M, below analysts' consensus of $277.4M. The company said Q2 sales were below its expectations, principally in North America, as it experienced longer sales cycles on some of its larger and more complex deals. Following the company's announcement, activist investor Elliot Management, one of Riverbedís largest shareholders, said Riverbed's "poor performance this quarter reveals its decision to stonewall prospective buyers to be a serious and costly mistake." Elliot urged the board to "immediately" retain an advisor and announce a review of strategic alternatives, including a sale. Elliot also reaffirmed its previously announced cash bid of $21 per share to buy the company. ANALYST OPINION: Research firm Wells Fargo said after the profit warning that it thinks there are still fundamental reasons to be cautious about Riverbed. However, the firm also believes the company's Q2 miss strengthens Elliot's position that its $21 offer represents fair value and the activist investor's involvement limits downside risk in the stock. The firm keeps its Market Perform rating and $19-21 price target range on Riverbed. OTHERS TO WATCH: Other cloud infrastructure companies include Citrix Systems (CTXS), LogMeIn (LOGM), and NetScout Systems (NTCT). PRICE ACTION: During morning trading, shares of Riverbed were down $1.19, or 5.85%, to $19.16.
News For RVBD;CTXS;LOGM;NTCT From The Last 14 Days
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March 25, 2015
10:31 EDTCTXSUBS software analyst to hold an analyst/industry conference call
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March 24, 2015
09:54 EDTNTCTNetScout management to meet with B. Riley
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March 17, 2015
14:55 EDTCTXSVMware to face more competitive process for DOD contract, says Stifel
After government websites indicated that Citrix (CTXS), Amazon (AMZN) and others succeeded in getting the DoD to reconsider its awarding of a $1.6B, five-year contract to VMware (VMW), Stifel said it doesn't think VMware has necessarily lost the opportunity, but that the company will now likely face a more competitive bidding process to win the deal. The firm view this example as supporting its concerns that VMware's steps to become a more strategic vendor have the potential to be as much of a threat as an opportunity and Stifel maintains its Hold rating on the stock.
14:43 EDTCTXSVMware award from DISA canceled after protest, siliconANGLE reports
On March 12, the Defense Information Security Agency, or DISA, reversed a decision to award VMware (VMW) with a $1.6B contract following protests by Amazon Web Services (AMZN), Citrix Systems (CTXS), and others, reported siliconANGLE. A government posting noted that "Amendment 0002 is issued to cancel the request for proposal to further analyze the government's needs." Reference Link

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