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Showing posts with label Netflix. Show all posts
Showing posts with label Netflix. Show all posts

Monday, April 2, 2018

Bull of the Day: VMware (VMW)

Strong Q4 Results The Zacks #1 (Strong Buy) stock reported impressive fourth quarter fiscal 2018 results last month. Both the top and bottom line topped the Zacks Consensus Estimate. Revenues of $2.31 billion and non-GAAP earnings of $1.68 grew 13.6% and 17.5% year-over-year, respectively. In particular, top line growth was driven by robust performance from the company's #NSX and #vSAN product lines. Breaking sales down by region, U.S. revenues increased 10.9%, while International revenues jumped over 16%; EMEA delivered strong growth in Q4 as well. Taking a look at @VMware's different segments, Services revenues grew 8.4% to $1.24 billion and License revenues surged more than 20% to $1.06 billion. Services represent 53.7% of total revenues, and License make up 46.3% of total revenues. Bookings were looking solid too, with NSX license bookings increasing 24% ad vSAN bookings soaring 100% year-over-year. Guidance is Promising Looking ahead, fiscal 2019 revenues are projected to jump nearly 11%, with License revenues increasing about 11.3% year-over-year. Non-GAAP earnings for the year are expected to be $6.02 per share, and non-GAAP operating margin is anticipated to be 33.3%. Additionally, VMware projects cash flow from operations to grow about 11% to $3.55 billion. Capital expenditures are also expected to be $280 million, with free cash flow of approximately $3.27 billion. Earnings Outlook For VMW, its bottom line is trending upward for the foreseeable future. Earnings are expected to grow over 15% for the current quarter. Eight analysts have revised their estimates upwards in the last 60 days, and none have cut their outlook in the same time period. Fiscal 2018 figures are also looking pretty great, with 13 estimates moving higher in the past two months. The Zacks consensus estimate trend has jumped from $5.56 per share to $5.95 per share. Earnings estimates for fiscal 2020 are on the rise as well, jumping from $6.15 per share to $6.64 per share in the last 60 days. Can VMW Push Higher? Recently, it's been a wild ride for the tech industry, with major sell-offs happening on the Nasdaq and the "FAANG" stocks-Facebook (FB), Amazon (AMZN), Apple (AAPL), Netflix (NFLX), and Alphabet (GOOGL)-experiencing major losses. While it's hard to say exactly what the cause of the tech sell-off is, overall data privacy concerns is likely the culprit, especially in the wake of the Facebook-Cambridge Analytica scandal. Looking at VMware, shares of the cloud infrastructure company have slipped a little over 3% since the start of the year, but have gained roughly 30% in the past one-year period. The Nasdaq has risen 18.2% in comparison

Monday, February 26, 2018

Why overcrowding in tech stocks is still risky

Favoring large-cap technology stocks proved a winning strategy during the recent bout of volatility that sent the stock market into correction. But the risk of a crowded trade, one that could be ripe for reversal, in tech remains, according to analysts at RBC Capital Markets. The S&P 500 SPX, +1.18%  has recovered more than half of the losses from the correction earlier this month, when it dropped more than 10%. The benchmark index is up 3.4% since the start of the year, trading near 2,765. The much-beloved tech sector — up nearly 9% year to date — accounted for more than 60% of those S&P gains. Over the past 12 months, the S&P 500 is up 16.4%, while the tech sector gains are more than double that at 35%
In fact, mega-tech names including @Microsoft CorpMSFT, +1.45% @Apple Inc. AAPL, +1.98% @Netflix Inc.NFLX, +2.88% @NVIDIA Corp NVDA, +0.26%  and @Alphabet Inc. GOOG, +1.51%  contributed the lion’s share, according to Howard Silverblatt, senior index analyst at S&P Dow Jones Indexes.

@Amazon.com AMZN, +1.46% technically a consumer discretionary company but often lumped in with tech, gained nearly 30% since the start of the year and contributed nearly a fifth of all the gains on the S&P 500, according to Silverblatt. So-called FAANG stocks, including Amazon, all hit intraday records (though they did not close at all-time highs) on Friday, an event that many technical analysts see as a bullish signal.

Read: Big Tech shake-up — three stocks to buy and three to sell

Solid performance of the sector is one of the main reasons why these stocks continue to be popular with both the sell-side analysts and buy-side managers.

According to Lori Calvasina, head of U.S. equity strategy at RBC Capital Markets, sell-side analysts still overwhelmingly recommend buying tech stocks.

“Net ‘buy’ ratings (the percent of technology sector buy ratings less the percent of S&P 500 buy ratings) remain extremely high relative to history, though not quite back to tech bubble peaks,” Calvasina wrote in a note to investors.

https://www.marketwatch.com/story/why-overcrowding-in-tech-stocks-is-still-risky-2018-02-26

Monday, January 15, 2018

No. Apple and Amazon Aren't Going to Lead a Mega-Merger Boom in 2018

The combined jackpots of the Powerball and Mega Millions lotteries was recently near $1 billion, and it's always fun to imagine what you would do with the money if you won. Yet with odds of winning either one at more than 1 in 250 million, the chances of hitting the numbers are not in your favor.  But everyday folks dreaming of lottery-fueled filthy wealth aren't the only ones engaging in wishful thinking. Wall Street analysts are engaging in the same sort of fanciful thinking when they speculate that @Apple (NASDAQ: #AAPL) is about to buy @Netflix (NASDAQ: #NFLX), or that @Amazon.com (NASDAQ: #AMZN) will buy @Target (NYSE:TGT). You probably have a better chance of winning the lottery than either of these deals ever happening.

https://www.fool.com/investing/2018/01/14/will-apple-and-amazon-lead-a-mega-merger-boom-in-2.aspx

Monday, January 1, 2018

AWS re:Invent 2017: How Netflix Tunes EC2

My last talk for 2017 was at @AWS re:Invent, on "How @Netflix Tunes @EC2 Instances for Performance," an updated version of my 2014 talk. There was so much demand for it this year that I had three overflow rooms streaming it, and people still couldn't get in. (I shouldn't let this go to my head, as there were 42,000 attendees at re:Invent looking for something to see!) Fortunately, it was videoed for those who missed it.

http://www.brendangregg.com/blog/2017-12-31/reinvent-netflix-ec2-tuning.html

Wednesday, September 13, 2017

In Bid for Major Carriers and Service Providers, Dell EMC Rack Scale Infrastructure Offers ‘Hyperscale Principles’ 

Calling it “ #hyperscale inspired,” #DellEMC today announced a #rackscale infrastructure – including compute, storage, networking, power, cooling and open management – aimed at major carriers and service providers, mammoth companies whose IT requirements rank just below those of the major public cloud and web-scale companies (i.e., #FANG *). The company said the offering, called #DSS9000 and scalable up to 96 nodes, is aimed at companies such as #Sprint and #Telefόnica to “accelerate the shift to software-defined data centers and cloud computing initiatives.” Built around #OpenComputeProject ( #OCP) specifications, the DSS 9000 is a pre-integrated, configurable rack that uses new #IntelXeonScalable processors. What could be called the “ #subhyperscale ” market, comprised of roughly a hundred or fewer large carriers/service providers, is one that’s increasingly adopting the IT strategies and needs of the FANG set: compute-intensive, large-scale workloads working off of immense and growing volumes of data. While FANG companies continue to buy from Dell EMC and HPE, they also – as has been widely observed – have increasingly multi-sourced their vendor mix to include low-cost, stripped down, custom servers and racks from low-cost Asian providers. Meanwhile, as the workloads of “sub-hyperscalers” have grown so have their IT requirements to the point where they demand rack scale infrastructures that a company like Dell EMC, with experience building solutions at the high end of data center market, can deliver. To wit, the DSS 9000 was developed under the auspices of what used to be called the Data Center Solutions (DCS) unit, now called Extreme Scale Infrastructure (ESI). “We’ve been working with what we call hyperscale customers, large public cloud guys, for more than 10 years, started at DCS, and we’ve continued to build upon that experience as we try to grow our business beyond those hyperscale customers,” Jyeh Gan, director, datacenter scalable solution, told EnterpriseTech, adding that the carrier/service provider market is growing three times faster than the core server market. “We’ve been talking about it for about a year and a half with the old Intel architecture,” Gan said, “we’ve been shipping it to a handful of customers as we’ve moved to the new Intel Xeon Scalable processors, and we want to open it up to more customers now.”  Source: Dell EMC Dell EMC said CenturyLink, Telefόnica and Sprint are among the first customers using the DSS 9000. “Our cloud infrastructure offerings are designed to help customers maintain control, increase visibility and be more agile so they can run both cloud-native and traditional applications more efficiently,” said Steve Nolen, senior product manager, CenturyLink Technology Solutions. “We chose the DSS 9000 to be the backbone of our Private Node offering because of its flexible design and ability to give our customers a build-to-order private cloud solution. Our public cloud offerings are also offered on the DSS 9000, providing a consistent and reliable experience for customers who have both public and private cloud needs.” Sprint is using the DSS 9000 as part of an effort to make its traditional mobility architectures more streamlined, efficient and scalable as it moves to a virtualized environment. The DSS 9000 was deployed to test its new open source network functions virtualization (NFV) and software-defined networking (SDN)-based mobile core reference solution. Telefόnica, meanwhile has chosen the DSS 9000 to support future networks, designed to be more automated and software-based. “(It’s) one of the industry’s most ambitious virtualization projects,” the company said in a prepared statement, “…designed to meet the stringent requirements of the network environment, including carrier-grade, performance and operational capabilities – while being as open as possible. We became interested in the DSS 9000 because it is built on open principles and aligns with our mission to make the project as future-proof as possible.” Gan said the DSS 9000 combines both an at-scale infrastructure along with pre-integration intended to ease implementation. “It was a product designed for the cloud (services companies), now we’re bringing it to more people than that, they can take the product and roll it right in, it’s pre-integrated, they can plug it in and away they go,” Gan said. “They can manage it the same way as everything else in their data center.” Other DSS 9000 features include: Provisioning, deployment and management conducted at the rack level, designed to accelerate delivery of new services. Management of large-scale operations via a single interface based on the Distributed Management Task Force (DMTF) Redfish specification, designed for interoperability with heterogeneous systems. Disaggregation of hardware resources to support the move toward a future of composable infrastructure with Redfish and Intel Rack Scale Design (RSD). Adoption of open principles, including recognition of the DSS 9000 by the Open Compute Project as OCP-INSPIRED and designed with an open networking approach to support NFV and SDN initiatives. Flexible configuration deployment with various rack heights accommodating full, half and third-width compute and storage sleds as well as other standard server, storage and networking options. “Carriers and service providers need next-generation infrastructure in order to balance the need to innovate at the speed of business while spending less,” said James Mouton, senior vice president, Extreme Scale Infrastructure, Dell EMC. “With the DSS 9000, we are leveraging our 10 years of experience working with industry titans to make it easier to purchase, optimize, deploy, manage, scale and service infrastructure at scale.” * Facebook, AWS/Azure (Microsoft), Netflix, Google.

https://www.enterprisetech.com/2017/09/12/bid-major-carriers-service-providers-dell-emc-rack-scale-infrastructure-offers-hyperscale-principles/

Sunday, May 7, 2017

Citi: The seven companies Apple could buy

#Apple could use its massive cash hoard to buy #Netflix or one of six other major U.S. companies, to the benefit of shareholders, according to a Citigroup analysis. On Tuesday, Apple reported another increase in its cash holdings to a new record of $256.8 billion, 93 percent of which is overseas. Many analysts speculate Apple could soon bring back those profits if the Trump administration follows through on a proposed cut to the tax rate on those returning funds. Mergers and acquisitions "may make the most sense for some (or all) of Apple's excess cash" since Apple would likely take "too long" to use its cash for accelerating its pace of share repurchases, Citi's Jim Suva said in a Friday note.

http://www.cnbc.com/2017/05/05/citi-the-seven-companies-apple-could-buy.html

Wednesday, February 22, 2017

Here's the best argument for Apple buying Netflix

#Netflix is fueling a surge of revenue growth for #Apple 's App Store, according to data released by analytics firm Sensor Tower on Tuesday. Spending rose 130 percent year-over-year in 2016 in the "entertainment" category of the App Store, which includes #HBONow, #Hulu and Netflix, according to data from Sensor Tower. Netflix in particular saw revenue hit $58 million in the fourth quarter, up from just $7.9 million a year earlier, Sensor Tower said, in a report released on Tuesday. The data comes as investors are increasingly asking if Apple should buy an entertainment technology company, like Netflix, to draw down its enormous pile of cash and boost ambitious plans for the App Store.

http://www.cnbc.com/2017/02/21/why-apple-should-buy-netflix.html

Wednesday, December 7, 2016

Datrium Raises $55M to Challenge Storage Arrays & Nutanix

Storage startup #Datrium announced a $55 million Series C on Tuesday, bringing its total funding to $110 million. The latest round for the 4-year-old startup was led by New Enterprise Associates (NEA) and includes prior investor Lightspeed Venture Partners.

Datrium offers a combination of servers and storage and competes with — but has a slightly different model from —  #hyperconverged infrastructure players such as #Nutanix. The company’s DVX platform includes a storage appliance called #NetShelf, but it also stores some data in direct-attached flash next to the virtual machine, for faster access.

While Nutanix can be considered a competitor, Datrium is also going after the traditional storage arrays sold by the likes of #EMC and #NetApp. Datrium’s claimed advantage is that it runs I/O processing, as well as data services such as deduplication, at the host. It’s a distributed approach that means I/O can scale along with the number of servers in play, the company says.

DVX was released to general availability earlier this year and has been deployed by more than 50 customers, the company claims.

Datrium’s founders hailed from #VMware and Data Domain, two companies that EMC bought a majority stake in — VMware in 2004, and Data Domain in 2009. (Of course, Dell acquired EMC this year.) One of its earliest funders was Diane Greene, a founder and former CEO of VMware who’s now leading the enterprise cloud effort at Google.

https://www.sdxcentral.com/articles/news/datrium-raises-55m-challenge-storage-arrays-nutanix/2016/12/

Wednesday, August 31, 2016

Verizon's Master Plan to Take On Google and Facebook

The U.S. wireless market is at a mature stage, smartphone sales growth has slowed, and the probability of finding someone without a wireless plan is slim. Though wireless carriers will still be able to increase their revenues as data consumption grows, without subscriber growth their user base numbers will be stable at best.
The c ountry's two largest wireless carriers, #Verizon and #AT&T (NYSE:T), have gone in two different directions, more so because of Verizon's push to create a content empire. But why is Verizon going down this road?

Why Verizon needs this new line of business

The first clue to that is that online advertising is expected to grow at double-digit rates for the next four years. The second is that cable is also approaching a tipping point because of heavy competition from video streaming sites like #Netflix (NFLX), #YouTubeRed, #Amazon (AMZN) Prime Video, #Hulu, #HBO Now and so on.

So Verizon found itself facing two mature service industries that weren't going to yield the kind of growth it was looking for, and online advertising became the desirable third option.

Therefore, Verizon went on a buying spree and grabbed up as many of the top content sites as it could. With all these brands under its belt Verizon is now ready to take on the monsters of online advertising - #Google and #Facebook (FB).

Five years ago the online advertising market was at the mercy of Google. Then Facebook came along asking for equal rights and has grown its advertising business to nearly $17 billion through last year. Now Verizon is looking to become the third player in the market. Wherever the money goes businesses will follow, and Verizon did.

http://finance.yahoo.com/news/verizons-master-plan-google-facebook-201255189.html

Tuesday, July 12, 2016

Twitter downgrade; Walmart takes on Amazon’s Prime Day; Netflix warning

#Yahoo Finance is tracking the stocks you’re following, based on your Yahoo Finance ticker searches. #Twitter (TWTR) – #SunTrust downgraded Twitter to neutral from buy on concerns over user growth and monetization challenges. Twitter also announced it has reached a deal with CBS to live-stream the Democratic and Republican National Conventions later this month. #Wal-Mart (WMT) – The retail giant is taking on #Amazon ’s Prime Day by offering free shipping this week with no minimum purchase. This offer will be in addition to its recently launched 30-day free trial of ShippingPass, which offers unlimited 2-day shipping for $49 per year. Netflix (NFLX) – The online streaming giant is on investors’ radars after a Barron’s article warned that the stock could drop 40%. The article cited content spending as the biggest risk to #Netflix. #Ford (F) – The auto giant is out with details on its new 2017 F-150. Ford says its 3.5-liter EcoBoost V6 engine and 10-speed automatic transmission will be set to go this fall. ConocoPhillips (COP) – JPMorgan has upgraded ConocoPhillips to neutral from underweight with a $44 price target.
http://finance.yahoo.com/news/twitter-downgrade-walmart-amazon-prime-000000678.html

Wednesday, June 29, 2016

Google is testing an internet speed tool built right into search results

Searching #Google using the phrase "speed test" has become a common practice for internet users looking to double check their Mbps rate, typically by surfacing a link for the free web product provided by analytics firm Ookla. To take advantage of the common behavior, @Google appears to be building its own internet speed test function right into search. That way, when someone types "check internet speed" into the search box, Google can do it for them. The feature may be in response to @Netflix 's new Fast.com website, which lets you check your internet speed by just typing in the URL and waiting a moment.

The search engine test was first noticed by Twitter user Pete Meyers, who posted a screenshot of the feature and unearthed a Google Support webpage detailing how it works. The page says Google relies on Measurement Lab to perform the tests. The organization, which was founded in 2009 and studies global internet performance, is composed of academic researchers, industry professionals, and Google employees Vint Cerf and Stephen Stuart. We don't have any images of what Google's speed test actually looks like, as the feature does not appear to be widely available just yet.

http://www.theverge.com/2016/6/28/12055442/google-search-internet-speed-test-netflix-fast-ookla