Morgan Keegan Reports Strong 1Q11 Results For VMware

According to Morgan Keegan, VMware VMW saw strong 1Q11 results. Morgan Keegan said that yesterday, VMW announced solid 1Q11 results with EPS of $0.48 and $843 million in revenue (+33% Y/Y), compared to the consensus expectation for EPS of $0.42 and $815 million in revenue. “License revenue increased 34% Y/Y to $419 million versus our assumption of 23%, driven by solid international revenue, ELA renewal activity, five eight figure transactions, as well as increased virtual desktop adoption. In general, 1Q11 performance reflects the company's strong competitive positioning and execution, in our opinion.” Alliance Data closed yesterday at $83.91.