|January 29, 2014|
|06:04 EDT||VMW||VMware price target raised to $121 from $113 at JPMorgan|
JPMorgan raised its price target for VMware shares to $121 following the company's Q4 results and outlook. The firm keeps an Overweight rating on the stock.
News For VMW From The Last 14 Days
|October 8, 2015|
|12:20 EDT||VMW||On The Fly: Top stock stories at midday|
Stocks on Wall Street were mixed at midday, with the Dow a bit higher, the S&P little changed and the Nasdaq lagging. The averages began the session uniformly in negative territory, but began to pare their losses almost immediately, then spent the rest of the morning teetering near the flat line. The tepid action is not surprising as investors await the release of the minutes from last month's FOMC rate setting meeting. ECONOMIC EVENTS: In the U.S., initial jobless claims dropped to 263,000 in the week ended October 3, versus expectations for 273,00 first-time claims. Investor attention is clearly focused on this afternoon's release of the FOMC minutes for the September 16-17 policy meeting, given the Fed's surprise decision to delay liftoff at that time. The minutes are scheduled to be released at 2 pm EDT. In Asia, markets were mixed, with Japan, Hong Kong, Taiwan and India all seeing some profit taking following days of strong gains, though mainland China re-opened for the first time since last Wednesday following the Golden Week holiday and saw a catch-up rally that pushed the Shanghai composite up about 3%. COMPANY NEWS: EMC (EMC) rose over 5.5% in early trading amid conflicting reports regarding M&A talks between the IT services and software company and Dell, which is privately owned by founder Michael Dell and private-equity partner Silver Lake. Last night, The Wall Street Journal reported that Dell and Silver Lake are in "advanced talks" to buy EMC, noting that one source indicated the deal being discussed calls for the buyers to spin off EMC's VMware (VMW) unit. Then, Re/code's Arik Hesseldahl reported that EMC has approached Dell in recent weeks about selling its VNX data storage business to the private technology company, but contended that acquiring a unit would make more logical and financial sense for Dell than buying all of EMC. However, CNBC's David Faber subsequently said, in keeping with the Journal, that Dell is in talks to acquire all of EMC for "above $27 per share," adding that a deal could be announced as soon as a week from now. Several analysts weighing in on the potential for a deal expressed doubt that a takeover of EMC by Dell is likely, but agreed that some alternate deal may make sense, adding that a potential Dell-EMC tie-up would be negative for HP Enterprise (HPQ)... Shares of eBay (EBAY) were among the worst performing on the S&P 500, sliding almost 8% near noon. The weakness in the online marketplace operator followed a report from e-commerce solutions and data provider ChannelAdvisor (ECOM), which estimated that eBay's same-store sales growth decelerated to 1.1% in September from August's 3.4% rate. In the same blog post, ChannelAdvisor reported that Amazon's (AMZN) same-store sales grew 19.2% in September, noting that was a decrease compared to August's 24.7% SSS growth rate. MAJOR MOVERS: Among the notable gainers was Tronox (TROX), which jumped 18.5% after Bloomberg reported that Apollo Global (APO) was mulling a takeover of Chemours (CC) as a potential first step in then consolidating titanium-dioxide makers. Shares of Chemours gained 7.5% following the report. Also higher were Polycom (PLCM) and Mitel (MITL), which gained 15% and 17%, respectively, after Elliott Management disclosed stakes in both companies and urged the two to consider a combination. Among the noteworthy losers was BioCryst (BCRX), which dropped 21% after the company said it completed patient enrollment in its clinical trial of orally-administered avoralstat in patients with hereditary angioedema, noting that without a deferral an NDA filing would occur in 2018. That NDA timing estimate was further out than prior comments from the company. Also lower was GoPro (GPRO), which fell 5.7% after Cleveland Research downgraded the stock to Neutral from Buy and lowered estimates below consensus to reflect deterioration in action camera shipments. INDEXES: Near midday, the Dow was up 25.75, or 0.15%, to 16,938.04, the Nasdaq was down 30.53, or 0.64%, to 4,760.62, and the S&P 500 was barely changed at 1,995.32.
|09:50 EDT||VMW||Analysts doubt Dell buys EMC despite media reports|
Shares of IT services and software company EMC (EMC) are moving higher in early trading amid conflicting reports regarding M&A talks between the company and Dell, which is privately owned by founder Michael Dell and private-equity partner Silver Lake. Analysts weighing in on the potential for a deal generally expressed doubt that a takeover is likely, but agree that some alternate deal may make sense and could be struck between the two. CONFLICTING REPORTS: Last night, Liz Hoffman, Dana Mattioli and Joann Lublin of The Wall Street Journal reported that Dell and Silver Lake are in "advanced talks" to buy EMC, noting that one source indicated the deal being discussed calls for the buyers to spin off EMC's VMware (VMW) unit. Then, Re/code's Arik Hesseldahl reported that EMC has approached Dell in recent weeks about selling its VNX data storage business to the private technology company. The tech reporter, who has frequently reported on EMC and VMware in the past, contended that acquiring a unit would make more logical and financial sense for Dell than buying all of EMC. However, CNBC's David Faber subsequently contended, in keeping with the Journal, that Dell is in talks to acquire all of EMC for "above $27 per share," adding that a deal could be announced as soon as one week from now. ANALYST TAKES: Jefferies analyst James Kisner thinks a Dell/EMC combination makes sense if EMC were to buy Dell or the two were to merge. However, he thinks EMC going private or Dell buying EMC is not likely given EMC's size and his view that a VMware spin out is not likely. If EMC and Dell were to merge, HP Enterprises (HP) could be the "odd man out" and an EMC acquisition of NetApp (NTAP) would be less likely, Kisner told investors in a research note. JPMorgan analyst Rod Hall agrees that a takeout of EMC by Dell does not make a lot of sense given the relative sizes of the two companies and the likely desire of Michael Dell and Silver Lake to exit their investments. EMC buying Dell is more likely, Hall told investors in his own research note. The analyst views the combination of EMC's storage business with Dell's 20% share of the server market as "strategically logical," however. He also views the potential Dell, EMC tie-up as negative for HP Enterprise. Analysts at Oppenheimer were also cautious about a full merger between the companies, partly because the firm believes that such a deal would be difficult to execute, add the low-margin consumer business to EMC, and create more conflicts between EMC and Cisco (CSCO). WHAT'S NOTABLE: Elliott Management, which is pushing EMC to break up, is planning to give EMC most of October to answer its demands after a standstill agreement expired, Reuters reported on October 1, citing people familiar with the matter. Elliott hopes that the additional time will allow the data storage company to create a response that could avoid a bruising activist campaign, the report stated, adding that Elliott plans to keep quiet until October 21, when EMC is scheduled to report Q3 earnings. PRICE ACTION: In early trading soon after the opening bell, EMC shares gained 3.6% to $26.93, while VMware fell 3.7% to $79.05 and HP was flat near $28 per share.
|09:09 EDT||VMW||Dell in talks to buy EMC for over $27/share, CNBC's Faber reports|
Dell is in talks to acquire all of EMC (EMC) for above $27 per share, CNBC's David Faber reports, citing sources. A deal could be one week away, he added. Dell wants to maintain control of VMware (VMW), making EMC's stake in the company part of the deal, Faber told viewers of CNBC. The deal would require $40B in financing, the reporter noted. Shares of EMC are up $1.39 to $27.35 in pre-market trading following Faber's report. The Wall Street Journal last night reported that Dell is in talks to acquire EMC. Many sell-side analysts this morning questioned the validity of the report. Some analysts told investors in research notes that EMC buying Dell is more likely than the reverse. Faber reports that Dell is in talks to buy all of EMC.
|09:03 EDT||VMW||Dell wants to maintain control of VMware, CNBC's Faber says|
|09:03 EDT||VMW||Dell in talks to acquire EMC above $27/share, CNBC's Faber reports|
|08:40 EDT||VMW||JPMorgan says EMC buying Dell more likely than reverse|
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|08:31 EDT||VMW||Dell buying EMC not likely, but merger makes sense, says Jefferies|
Jefferies analyst James Kisner thinks a Dell/EMC combination makes sense with EMC buying Dell or a Dell/EMC merger. However, he thinks EMC going private or Dell buying EMC is not likely given EMC's size and his view that a VMware (VMW) spin out is not likely. If EMC and Dell were to merge, HP Enterprises (HP) could be the "odd man out" and an EMC acquisition of NetApp (NTAP) would be less likely, Kisner tells investors in a research note.
|08:14 EDT||VMW||Dell probably can't buy EMC, says Bernstein|
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|06:29 EDT||VMW||VMware October weekly volatility elevated into Q3 and outlook|
VMware 10/23/15 weekly call option implied volatility is at 46, November is at 39; compared to its 52-week range of 21 to 43, suggesting large price movement into the expected release of Q3 results on October 20.
|05:58 EDT||VMW||Options expected to be active: EMC VMW IBM HPQ ORCL AA DB LL|
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|October 5, 2015|
|14:33 EDT||VMW||Apple won't renew expiring VMware licensing deal, CRN reports|
Apple (AAPL) has been using VMware (VMW) software to run parts of its corporate IT infrastructure, but the iPhone giant won't renew an expiring enterprise licensing agreement with VMware and will be stepping up its deployment of an open-source alternative, according to CRN, citing multiple sources with knowledge of the matter. One source said the VMware ELA extension would have cost around $20M, the report noted. VMware shares are still up fractionally in afternoon trading but have slipped from where they were trading before the CRN report was circulated. Reference Link
|14:29 EDT||VMW||Apple won't renew expiring VMware licensing deal, CRN reports|
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|October 2, 2015|
|09:36 EDT||VMW||VMware downgraded to Negative from Mixed at OTR Global|
|September 30, 2015|
|06:12 EDT||VMW||EMC's Goulden: Breaking off VMware 'wrong thing to do,' Re/code reports|
EMC (EMC) president David Goulden said his firm will try to maintain its complex corporate structure amid pressure to spin off its stake in VMware (VMW), Re/code reports. "We believe strongly that breaking up is the wrong thing to do," Goulden said in an interview at Re/code's Code/Enterprise Series event. Reference Link