Drexel Hamilton's Sees Signs Of Life In VMware

Over the past 2 months shares of VMware have started to bounce back and the street is taking notice. Earlier Tuesday morning, Drexel Hamilton's Brian White released a note saying the stock, "Shows Signs of Life In Spring" despite." White states that the stock remains 'extremely' attractive as the company enters into the seasonally strong portion of the year. He believes sentiment may pick up soon, especially considering VMworld is due to kick off in late August. Another reason to be optimistic in White's eyes is the growth in new areas such as:

White does admit that while shares are up 5% year-to-date, they are still down 25% since the Dell-EMC deal. Despite this, White believes the company's operating should begin to accelerate in 2017 after operating profit cycle troughed in Q1. White reiterates a 'Buy' rating and a $77 price target for VMware.