while the overall quarter was quite good and management commentary about accelerating sales cycles and record backlog is very encouraging there are some flies in the oinment here:
StraTech acquisition doesn't live up to expectations so far with revenues coming in way below plan - management blaming disruptions from the takeover for that - time will tell how this will work out
margins have come down signifcantly also this was partly due to a big low margin resale of VMWare licenses
eps guidance for Q1 implies additional margin pressures
Good quarter, encouraging management comments. Company needs to improve margins and integration of the latest acquisition going forward.
As expectations were very low after two quarters of disappointments going into the earnings release numbers and guidance should be enough to give the stock a sizeable boost tomorrow, perhaps as much as 20% at the highs. As margins going forward look still weak I would look to take some profits tomorrow.
Still undervalued. This needs to be the teens based on current #s
To your points 1 and 2
1. Can you expand on that because revenues were substantially higher than the highest estimates
2. 6 basis points is "substantial" on that kind of revenue growth? Or am I missing something?