Virtualization leader
VMware (NYSE:
VMW)
has been an exceptional stock for the past three years and the business
has grown nicely on the back of server virtualization, system
virtualization and management tools. Sometimes, though, I wonder if
investors overlook a key part of the VMware story - namely, that
EMC (NYSE:
EMC) owns 80% or so of the business and can largely do as it pleases with it.
That
is coming home to roost with a vengeance on Tuesday, as rumors have
spread widely that EMC is replacing VMware's CEO. While these reports
have not been confirmed as of this writing, such a change would be a
considerable shake-up for investors and would certainly introduce new
risk into the business.
Read more here:
http://stocks.investopedia.com/stock-analysis/2012/Rumors-Roil-VMware-VMW-EMC-MSFT-CTXS0718.aspx
No comments:
Post a Comment