Every company/management team drops the ball eventually if they stay in
the game long enough. The real question is how quickly they pick the
ball up and get back to business as usual. TIBCO (Nasdaq:TIBX)
has now logged two significant consecutive disappointments, and it is
worth asking why management hasn't been more aggressive in addressing
the sales execution issues it has cited as fueling the problems.
Although I think TIBCO is underrated and could become a “platform IT
company” after these growing pains, these mistakes and lost
opportunities raise legitimate questions about whether management can
realize that transition. TIBCO looks cheap to me, but this is not a
stock that I'd recommend for nervous or risk-averse investors.
Please continue reading here:
http://www.investopedia.com/stock-analysis/032213/another-stumble-tibco-should-lead-uncomfortable-questions-tibx-ibm-orcl-infa-msft.aspx
Showing posts with label Informatica. Show all posts
Showing posts with label Informatica. Show all posts
Saturday, March 23, 2013
Friday, July 6, 2012
Investopedia: Early Returns From Tech Not Looking Good
'Tis the season for companies to issue warnings that calendar second
quarter earnings are not going to be up to snuff. With investors already
jittery about the outlook for tech stocks, July 5, 2012's warnings from
Seagate (Nasdaq:STX) and Informatica (Nasdaq:INFA) are not going to the sector any favors.
Seagate - Yes, It's Still a Cyclical Business
As the hard drive company least damaged by the Thai floods, Seagate has been on something of a roll with its operations. That roll has now noticeably slowed. Whereas the company had once guided to "at least $5 billion" in revenue and gross margin of 34.5%, management warned that actual revenue for the quarter will be more on the order of $4.5 billion, while gross margin will be closer to 33.6%. If there's good news here, it's that analysts were already getting more skeptical and cautious, and had been lowering their numbers. Consequently, the announced miss adds up to less than 10% on the top line and about one point on the gross margin line.
Read more here:
http://stocks.investopedia.
Seagate - Yes, It's Still a Cyclical Business
As the hard drive company least damaged by the Thai floods, Seagate has been on something of a roll with its operations. That roll has now noticeably slowed. Whereas the company had once guided to "at least $5 billion" in revenue and gross margin of 34.5%, management warned that actual revenue for the quarter will be more on the order of $4.5 billion, while gross margin will be closer to 33.6%. If there's good news here, it's that analysts were already getting more skeptical and cautious, and had been lowering their numbers. Consequently, the announced miss adds up to less than 10% on the top line and about one point on the gross margin line.
Read more here:
http://stocks.investopedia.
Friday, January 7, 2011
Investopedia: Will 2011 Be Another Wild Year In Software?
Perhaps more than any other sector in 2011, M&A played a major role in valuations and investor expectations in software in 2010. With companies increasingly comfortable with the economic recovery and their own balance sheets, and an insatiable demand from Wall Street for growth and so-called catalysts, 2011 could be yet another year of above-average M&A activities. Not only is this good news for the large investment banks that will likely win the advisory business for these deals, but software investors may benefit from the tailwind as well.
What are some of the names that investors might want to watch in 2011?
BMC: Customers First
In broad terms, BMC Software (NYSE:BMC) helps its customers manage their IT environment - an increasingly important task as virtualization and cloud computing make what was already a complex job even more difficult. What BMC offers is a lot of what might be considered "blocking and tackling"; monitoring systems for equipment failure and allocating more servers in response to demand surges may not seem exciting, but they are important to the overall operation of a company's IT. BMC's relatively lower growth rate probably will not prompt a huge buyout valuation, but this could be a useful "back filling" acquisition for a tech company that wants a well-regarded, very sticky software provider. (For more, see The Next Cloud-Computing Takeovers.)
Searching for Dividends
Check Point Software (Nasdaq:CHKP) is a rather rare bird in software these days - a company with good growth prospects (analysts expect double-digit revenue growth), respectable returns on capital and a valuation that actually does not look ridiculous. As a leader in security, particularly in the firewall and VPN space, Check Point is strongest in markets that used to be hot but still remain essential and quite profitable. Accordingly, a deal for Check Point could be one of those transactions that generates little buzz for the buyer at the time of the deal, but pays dividends over time.
Please click below for the full piece:
http://stocks.investopedia.
What are some of the names that investors might want to watch in 2011?
BMC: Customers First
In broad terms, BMC Software (NYSE:BMC) helps its customers manage their IT environment - an increasingly important task as virtualization and cloud computing make what was already a complex job even more difficult. What BMC offers is a lot of what might be considered "blocking and tackling"; monitoring systems for equipment failure and allocating more servers in response to demand surges may not seem exciting, but they are important to the overall operation of a company's IT. BMC's relatively lower growth rate probably will not prompt a huge buyout valuation, but this could be a useful "back filling" acquisition for a tech company that wants a well-regarded, very sticky software provider. (For more, see The Next Cloud-Computing Takeovers.)
Searching for Dividends
Check Point Software (Nasdaq:CHKP) is a rather rare bird in software these days - a company with good growth prospects (analysts expect double-digit revenue growth), respectable returns on capital and a valuation that actually does not look ridiculous. As a leader in security, particularly in the firewall and VPN space, Check Point is strongest in markets that used to be hot but still remain essential and quite profitable. Accordingly, a deal for Check Point could be one of those transactions that generates little buzz for the buyer at the time of the deal, but pays dividends over time.
Please click below for the full piece:
http://stocks.investopedia.
Monday, June 28, 2010
A Good Omen From Oracle
The bigger a business gets, the more complicated it becomes. The more complicated a business becomes, the larger its IT needs get. That is my five-second summary on Oracle's (Nasdaq: ORCL) basic raison d'etre and why I continue to be optimistic about the company's future.
The Quarter That Was
Oracle generally has a reputation for delivering the goods, and this quarter was no exception. Although revenue was in line with the average analyst guess, 39% growth to about $9.5 billion was a solid result. Even stripping out the non-organic boost from the acquisition of Sun, 12% growth was a solid result. Oracle also delivered very solid operating performance and beat the bottom-line estimate (adjusted for items) by more than 10%. (For related reading, take a look at The Wonderful World Of Mergers.)
For the full piece:
http://stocks.investopedia.
The Quarter That Was
Oracle generally has a reputation for delivering the goods, and this quarter was no exception. Although revenue was in line with the average analyst guess, 39% growth to about $9.5 billion was a solid result. Even stripping out the non-organic boost from the acquisition of Sun, 12% growth was a solid result. Oracle also delivered very solid operating performance and beat the bottom-line estimate (adjusted for items) by more than 10%. (For related reading, take a look at The Wonderful World Of Mergers.)
For the full piece:
http://stocks.investopedia.
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