I'm going to start using some common format for my fundamentals analysis.
1. Check the graph, using slow stochastic & William's ratio on Yahoo finance. http://finance.yahoo.com/charts?s=vmw#chart1:symbol=vmw;range...
Looks like stock was getting accumulated until Feb, and now pple are dumping this...Now William's ratio is hovering around -87%,which is
definitely one of the BUY signals. Also, overall market looks gloomy with finances sector rubbing some RED INK to everybody. - But, as
a computer programmer, VMW is $ saver for any company , if they do not want to spend on IT. (specifically hardware).
2. PEG =1.22, well,i would love to see it under 1.0 but again its because of little higher PE = 54.5.
3. Checkout the projected growth: 44.57% Which is definitely a PLUS.
4. All major hardware vendors, putting the hypervisor in their servers, (Dell,HP, IBM) well....is a definitely plus. I don't know how much
VMW will be getting as royalty but its a _VERY_ good sign,and future looks promising. (Irrespective of what hardware improvements
come obviously).
5.
| Sales Growth (year/est) | N/A | 57.3% | 50.8% | 39.9% |
This is pretty neat. If not impressive. In the bear market, even if you slash the projection by as high as 50%, we are still able to
see growth. That is good to keep ur money.
6. Somehow, i've a very strong feeling that VMW is POTENTIAL buy. Either Cisco or Google. I don't know who. IBM already have
their hypervisor (AKA VIO environment) and god knows what HP has. Dell builds commodity servers anyways. So, look for a spike
in EMC as well ;-)). Everytime i feel that VMW is risky,but want a share of $ i wana put my $ in EMC.
These are my views :-) & lets hope for the best.
Regards
$56.98 (01/31/08)
