VMware (NYSE:VMW) Updates Q4 Earnings Guidance

VMware (NYSE:VMW) issued an update on its fourth quarter earnings guidance on Tuesday morning. The company provided earnings per share guidance of $1.96 for the period, compared to the Thomson Reuters consensus earnings per share estimate of $1.89. The company issued revenue guidance of $3.51 billion, compared to the consensus revenue estimate of $3.56 billion.

VMW stock traded up $2.22 during mid-day trading on Thursday, hitting $118.70. The stock had a trading volume of 3,951,881 shares, compared to its average volume of 1,453,656. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 0.52. VMware has a 1-year low of $114.01 and a 1-year high of $172.00. The business’s fifty day moving average price is $139.27. The stock has a market cap of $49.71 billion, a PE ratio of 24.37, a price-to-earnings-growth ratio of 2.16 and a beta of 0.75.

VMware (NYSE:VMW) last released its quarterly earnings results on Monday, November 22nd. The virtualization software provider reported $1.72 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.54 by $0.18. The company had revenue of $3.19 billion during the quarter, compared to the consensus estimate of $3.12 billion. VMware had a return on equity of 23.49% and a net margin of 16.77%. The firm’s revenue was up 11.3% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.05 EPS. As a group, equities analysts anticipate that VMware will post 4.6 earnings per share for the current year.

The business also recently declared a dividend, which was paid on Monday, November 1st. Stockholders of record on Friday, October 29th were paid a dividend of $27.40 per share. The ex-dividend date was Tuesday, November 2nd. This is an increase from VMware’s previous dividend of $26.81.

Several analysts have recently issued reports on VMW shares. BMO Capital Markets decreased their price target on VMware from $172.00 to $135.00 and set a market perform rating for the company in a research note on Wednesday. TheStreet downgraded VMware from a b rating to a c+ rating in a research note on Thursday, November 18th. Deutsche Bank Aktiengesellschaft decreased their target price on VMware from $145.00 to $135.00 and set a hold rating for the company in a research note on Wednesday. Oppenheimer decreased their target price on VMware from $175.00 to $148.00 and set an outperform rating for the company in a research note on Wednesday, November 3rd. Finally, Stifel Nicolaus increased their target price on VMware from $175.00 to $185.00 and gave the company a buy rating in a research note on Friday, August 27th. Eleven equities research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the stock. According to MarketBeat, VMware currently has a consensus rating of Hold and a consensus target price of $154.18.

In other news, President Sumit Dhawan sold 1,600 shares of the stock in a transaction that occurred on Tuesday, September 7th. The stock was sold at an average price of $146.52, for a total value of $234,432.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Amy Fliegelman Olli sold 1,478 shares of the stock in a transaction that occurred on Thursday, September 2nd. The stock was sold at an average price of $147.18, for a total value of $217,532.04. The disclosure for this sale can be found here. Insiders sold a total of 5,344 shares of company stock valued at $794,470 in the last quarter. Corporate insiders own 27.80% of the company’s stock.

An institutional investor recently raised its position in VMware stock. Morgan Stanley boosted its holdings in shares of VMware, Inc. (NYSE:VMW) by 38.4% during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 482,318 shares of the virtualization software provider’s stock after acquiring an additional 133,792 shares during the period. Morgan Stanley owned approximately 0.12% of VMware worth $77,157,000 as of its most recent filing with the Securities and Exchange Commission. Institutional investors own 16.99% of the company’s stock.

About VMware

VMware, Inc engages in the provision of cloud infrastructure and business mobility. Its products include Software-Defined Data Center, Hybrid Cloud Computing, and End-User Computing. It supports modernizing data centers, integrating public clouds, empowering digital workspaces and transforming security.

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Earnings History and Estimates for VMware (NYSE:VMW)

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