Why VMware Is Ready to Rebound

Updated
Why VMware Is Ready to Rebound

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, server virtualization specialist VMware has earned a respected four-star ranking.

With that in mind, let's take a closer look at VMware and see what CAPS investors are saying about the stock right now.

VMware facts

Headquarters (founded)

Palo Alto, Calif. (1998)

Market Cap

$30.2 billion

Industry

Systems software

Trailing-12-Month Revenue

$4.7 billion

Management

CEO Patrick Gelsinger (since 2012)

COO Carl Eschenbach (since 2012)

Return on Equity (average, past 3 years)

14%

Cash/Debt

$4.9 billion / $450.0 million

Competitors

Citrix Systems

Microsoft

Amazon.com


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 92% of the 2,338 members who have rated VMware believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, AaronSmothers, tapped VMware as a particularly healthy opportunity:

With the full initiation of Obama's health care plan the medical world is scrabbling. The virtualization industry stands to profit. Also, enterprise level virtualization may provide a great cost cutting economies of scale option to mid to large companies.

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, VMware may not be your top choice.

After all, it's incredible to think just how much of our digital and technological lives are almost entirely shaped and molded by just a handful of companies. Find out "Who Will Win the War Between the 5 Biggest Tech Stocks?" in The Motley Fool's latest free report, which details the knock-down, drag-out battle being waged by the five kings of tech. Click here to keep reading.

The article Why VMware Is Ready to Rebound originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Amazon.com and VMware. The Motley Fool owns shares of Amazon.com, Microsoft, and VMware. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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