So what other peers have 100 PE's and what growth do you project?
I find it funny for example that today in the Equallogic press release they say the Virtualization Market will be $11b in 2011.
That means VMW trades at 4x the ENTIRE MARKET. In fact, VMW does not even compete in this entire market perhaps 80% and lets assume they have 80% market share and then lets assume they have 20% EBIT margins.
That would mean in 2011 they would have $1.4b in EBIT or 40x today's market cap.
Name a company that has ever traded that high? No one.
Where is the 1.33 from? First call doesnt use that #
Baidu is an internet search engine in China if I am correct - VMW sells server optimization software - different channels, different products, different end-users, etc.
I hope that's not what you guys are hanging you're hat on!!!
Baidu is how you guys value this?