Switch to:

GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 9/10

vs
industry
vs
history
Cash to Debt 13.72
VMW's Cash to Debt is ranked higher than
62% of the 1618 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 25.64 vs. VMW: 13.72 )
VMW' s 10-Year Cash to Debt Range
Min: 0.22   Max: No Debt
Current: 13.72

Equity to Asset 0.55
VMW's Equity to Asset is ranked higher than
59% of the 1589 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 0.60 vs. VMW: 0.55 )
VMW' s 10-Year Equity to Asset Range
Min: -0.2   Max: 0.57
Current: 0.55

-0.2
0.57
Interest Coverage 273.25
VMW's Interest Coverage is ranked higher than
63% of the 1077 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 403.68 vs. VMW: 273.25 )
VMW' s 10-Year Interest Coverage Range
Min: 13.25   Max: 9999.99
Current: 273.25

13.25
9999.99
F-Score: 7
Z-Score: 6.19
M-Score: -3.09
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 9/10

vs
industry
vs
history
Operating margin (%) 20.99
VMW's Operating margin (%) is ranked higher than
92% of the 1604 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 5.48 vs. VMW: 20.99 )
VMW' s 10-Year Operating margin (%) Range
Min: 10.84   Max: 24.18
Current: 20.99

10.84
24.18
Net-margin (%) 19.47
VMW's Net-margin (%) is ranked higher than
94% of the 1602 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 3.67 vs. VMW: 19.47 )
VMW' s 10-Year Net-margin (%) Range
Min: 7.67   Max: 19.47
Current: 19.47

7.67
19.47
ROE (%) 14.88
VMW's ROE (%) is ranked higher than
88% of the 1564 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 6.77 vs. VMW: 14.88 )
VMW' s 10-Year ROE (%) Range
Min: 7.19   Max: 16.27
Current: 14.88

7.19
16.27
ROA (%) 8.23
VMW's ROA (%) is ranked higher than
86% of the 1616 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 3.63 vs. VMW: 8.23 )
VMW' s 10-Year ROA (%) Range
Min: 3.89   Max: 8.35
Current: 8.23

3.89
8.35
ROC (Joel Greenblatt) (%) 129.35
VMW's ROC (Joel Greenblatt) (%) is ranked higher than
87% of the 1600 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 30.96 vs. VMW: 129.35 )
VMW' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: 54.5   Max: 483.92
Current: 129.35

54.5
483.92
Revenue Growth (%) 21.20
VMW's Revenue Growth (%) is ranked higher than
91% of the 1208 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 6.30 vs. VMW: 21.20 )
VMW' s 10-Year Revenue Growth (%) Range
Min: 21.2   Max: 77.5
Current: 21.2

21.2
77.5
EBITDA Growth (%) 28.70
VMW's EBITDA Growth (%) is ranked higher than
88% of the 951 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 7.70 vs. VMW: 28.70 )
VMW' s 10-Year EBITDA Growth (%) Range
Min: 0   Max: 46.2
Current: 28.7

0
46.2
EPS Growth (%) 40.70
VMW's EPS Growth (%) is ranked higher than
88% of the 892 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 8.80 vs. VMW: 40.70 )
VMW' s 10-Year EPS Growth (%) Range
Min: 11.3   Max: 130.2
Current: 40.7

11.3
130.2
» VMW's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2013

VMW Guru Trades in Q1 2013

George Soros 400,000 sh (New)
Caxton Associates 35,000 sh (New)
Jim Simons 302,900 sh (New)
Lee Ainslie 1,734,000 sh (New)
Steven Cohen 1,656,953 sh (+99.65%)
PRIMECAP Management 8,800 sh (unchged)
RS Investment Management 36,400 sh (unchged)
Louis Moore Bacon Sold Out
Jim Chanos 141,100 sh (-1.4%)
Paul Tudor Jones 5,700 sh (-94.3%)
» More
Q2 2013

VMW Guru Trades in Q2 2013

Jeremy Grantham 48,375 sh (New)
Ray Dalio 4,900 sh (New)
PRIMECAP Management 11,800 sh (+34.09%)
Lee Ainslie 2,207,055 sh (+27.28%)
Caxton Associates Sold Out
Jim Chanos Sold Out
RS Investment Management Sold Out
George Soros Sold Out
Paul Tudor Jones 5,200 sh (-8.77%)
Steven Cohen 578,794 sh (-65.07%)
Jim Simons 27,500 sh (-90.92%)
» More
Q3 2013

VMW Guru Trades in Q3 2013

Jim Simons 194,400 sh (+606.91%)
Ray Dalio 12,100 sh (+146.94%)
PRIMECAP Management 11,800 sh (unchged)
Steven Cohen 60,000 sh (unchged)
Jeremy Grantham Sold Out
Lee Ainslie Sold Out
Paul Tudor Jones Sold Out
Steven Cohen 29,777 sh (-94.86%)
» More
Q4 2013

VMW Guru Trades in Q4 2013

RS Investment Management 113,200 sh (New)
Pioneer Investments 90,770 sh (New)
PRIMECAP Management 286,300 sh (+2326.27%)
Jim Simons 432,700 sh (+122.58%)
Steven Cohen 37,841 sh (+27.08%)
Ray Dalio Sold Out
» More
» Details

Insider Trades

Latest Guru Trades with VMW

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
PRIMECAP Management 2013-12-31 Add 2326.27%0.03%$77.24 - $90.18 $ 103.1725%286300
Ray Dalio 2013-12-31 Sold Out 0.01%$77.24 - $90.18 $ 103.1725%0
Lee Ainslie 2013-09-30 Sold Out 2%$65.58 - $89.16 $ 103.1727%0
Ray Dalio 2013-09-30 Add 146.94%$65.58 - $89.16 $ 103.1727%12100
Lee Ainslie 2013-06-30 Add 27.28%0.43%$65.53 - $78.95 $ 103.1741%2207055
George Soros 2013-06-30 Sold Out 0.37%$65.53 - $78.95 $ 103.1741%0
PRIMECAP Management 2013-06-30 Add 34.09%$65.53 - $78.95 $ 103.1741%11800
Ray Dalio 2013-06-30 New Buy$65.53 - $78.95 $ 103.1741%4900
Lee Ainslie 2013-03-31 New Buy1.8%$70.37 - $99 $ 103.1725%1734000
George Soros 2013-03-31 New Buy0.37%$70.37 - $99 $ 103.1725%400000
Premium More recent guru trades are included for Premium Members only!!
» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Ratios

vs
industry
vs
history
P/E(ttm) 44.20
VMW's P/E(ttm) is ranked lower than
57% of the 1119 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 23.20 vs. VMW: 44.20 )
VMW' s 10-Year P/E(ttm) Range
Min: 24.86   Max: 251.33
Current: 44.2

24.86
251.33
P/B 6.70
VMW's P/B is ranked lower than
68% of the 1504 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 2.45 vs. VMW: 6.70 )
VMW' s 10-Year P/B Range
Min: 3.55   Max: 36.37
Current: 6.7

3.55
36.37
P/S 8.59
VMW's P/S is ranked lower than
85% of the 1650 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 1.98 vs. VMW: 8.59 )
VMW' s 10-Year P/S Range
Min: 4.12   Max: 36.37
Current: 8.59

4.12
36.37
PFCF 20.30
VMW's PFCF is ranked higher than
60% of the 874 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 19.50 vs. VMW: 20.30 )
VMW' s 10-Year PFCF Range
Min: 12.43   Max: 145
Current: 20.3

12.43
145
EV-to-EBIT 34.50
VMW's EV-to-EBIT is ranked lower than
61% of the 1278 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 17.39 vs. VMW: 34.50 )
VMW' s 10-Year EV-to-EBIT Range
Min: 17.7   Max: 267.4
Current: 34.5

17.7
267.4
PEG 1.30
VMW's PEG is ranked higher than
73% of the 601 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 1.98 vs. VMW: 1.30 )
VMW' s 10-Year PEG Range
Min: 1.25   Max: 2.37
Current: 1.3

1.25
2.37
Shiller P/E 76.60
VMW's Shiller P/E is ranked lower than
65% of the 616 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 29.33 vs. VMW: 76.60 )
VMW' s 10-Year Shiller P/E Range
Min: 56.36   Max: 164.92
Current: 76.6

56.36
164.92

Valuation & Return

vs
industry
vs
history
Price/Net Cash 67.00
VMW's Price/Net Cash is ranked lower than
85% of the 481 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 13.30 vs. VMW: 67.00 )
VMW' s 10-Year Price/Net Cash Range
Min: 58.25   Max: 131.61
Current: 67

58.25
131.61
Price/Net Current Asset Value 28.10
VMW's Price/Net Current Asset Value is ranked lower than
75% of the 672 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 11.00 vs. VMW: 28.10 )
VMW' s 10-Year Price/Net Current Asset Value Range
Min: 22.56   Max: 369.52
Current: 28.1

22.56
369.52
Price/Tangible Book 14.00
VMW's Price/Tangible Book is ranked lower than
81% of the 1245 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 4.00 vs. VMW: 14.00 )
VMW' s 10-Year Price/Tangible Book Range
Min: 7.43   Max: 48.57
Current: 14

7.43
48.57
Price/DCF (Projected) 1.80
VMW's Price/DCF (Projected) is ranked higher than
57% of the 753 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 1.50 vs. VMW: 1.80 )
VMW' s 10-Year Price/DCF (Projected) Range
Min: 1.58   Max: 3.69
Current: 1.8

1.58
3.69
Price/Median PS Value 0.90
VMW's Price/Median PS Value is ranked higher than
74% of the 1516 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 1.10 vs. VMW: 0.90 )
VMW' s 10-Year Price/Median PS Value Range
Min: 0.53   Max: 2.44
Current: 0.9

0.53
2.44
Price/Peter Lynch Fair Value 1.80
VMW's Price/Peter Lynch Fair Value is ranked higher than
53% of the 365 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 1.50 vs. VMW: 1.80 )
VMW' s 10-Year Price/Peter Lynch Fair Value Range
Min: 1.53   Max: 4.18
Current: 1.8

1.53
4.18
Price/Graham Number 5.20
VMW's Price/Graham Number is ranked lower than
76% of the 911 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 2.20 vs. VMW: 5.20 )
VMW' s 10-Year Price/Graham Number Range
Min: 3.24   Max: 17.97
Current: 5.2

3.24
17.97
Earnings Yield (Greenblatt) 2.90
VMW's Earnings Yield (Greenblatt) is ranked lower than
54% of the 1324 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 5.40 vs. VMW: 2.90 )
VMW' s 10-Year Earnings Yield (Greenblatt) Range
Min: 0.4   Max: 5.7
Current: 2.9

0.4
5.7
Forward Rate of Return (Yacktman) 31.08
VMW's Forward Rate of Return (Yacktman) is ranked higher than
93% of the 1007 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 5.32 vs. VMW: 31.08 )
VMW' s 10-Year Forward Rate of Return (Yacktman) Range
Min: 26.5   Max: 75.9
Current: 31.08

26.5
75.9

Business Description

Industry: Application Software » Software - Infrastructure
Compare:MSFT, ORCL, CTXS, CA, TIBX » details
Traded in other countries:BZF1.Germany
VMWare, Inc., was incorporated as a Delaware corporation in 1998. It is a provider of virtualization solutions from the desktop to the data center. The Company provides virtualization and virtualization-based cloud infrastructure solutions utilized by businesses to help them transform the way they build, deliver and consume information technology resources in a manner that is evolutionary and based on their specific needs. Its virtualization solutions reflect a pioneering approach to computing that separates application software from the underlying hardware to achieve significant improvements in efficiency, agility, availability, flexibility and manageability. Its solutions are based upon its core virtualization technology and are organized into three main product groups: Cloud Infrastructure and Management; Cloud Application Platform; and End-User Computing. Cloud Infrastructure and Management Products and Technology includes VMware vSphere, which is its flagship data center platform. Other components of its various VMware vSphere offerings include key capabilities such as: vSphere vMotion and Storage vMotion enables the live migration of actively running virtual machines across servers or storage locations without disruption or downtime. vSphere High Availability enables cost-effective high availability for all applications against hardware and operating system failures. vSphere Storage DRS automatically manages the placement and balancing of a virtual machine across storage resources. vSphere vNetwork Distributed Switch enables centralized point of control for cluster-level networking. VMware Cloud Application Platform solutions help organizations build, run and manage enterprise applications in public, private or hybrid clouds optimized for vSphere. Its Cloud Application Platform provides open source application frameworks, application run-time and data management solutions and an open platform as a service, or PaaS. Its End-User Computing solutions provide the ability to manage software as a service ('SaaS'), Windows, Mobile or enterprise applications. Additional VMware offerings are designed to enhance seamless communication and collaboration between end users. It works with more than 2,100 technology partners, including server, microprocessor, storage, networking, software and security vendors. It derives a majority of its revenues from its large indirect sales channel, which includes distributors, resellers, system vendors and systems integrators. It competes with large and small vendors in different segments of the cloud computing, end-user computing and virtualization markets. Its main competitors include Microsoft and Citrix.

Personalized Checklist








Within your circle of competence?
Macro economic environment favorable?
High quality business?
Enough margin of safety with stocks?
Gurus are buying?
Insiders are buying?
Management capable and shareholder friendly?
Catalyst for stock price to appreciate?
Your level of confidence with the research?

Add Notes, Comments or Ask Questions

User Comments

No comment yet

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK
Hide