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Tech Today: Cutting Tesla's Margins, Apple Services Slowdown, Mixed Views on Pivotal

Here are some things going on today in the world of tech: Mixed Views of Pivotal IPO Analysts this morning are initiating coverage of Pivotal Software (PVTL), the cloud software company that came public April 20. The reviews seem evenly split: the equivalent of Buy ratings at Goldman Sachs, William Blair, KeyBanc, Credit  Suisse, and Morgan Stanley, but Hold ratings at Barclays, Merrill Lynch, RBC Capital, Citigroup, and UBS. Goldman’s Heather Bellini, starting the stock at Buy with a $21 price target, writes that “we view Pivotal as a well-positions modern software development platform vendor, at the intersection of public cloud and on-premise, as the company can address both applications being refactored for public cloud, as well as new new applications being built for both on-premises and cloud." But RBC’s Matthew Hedberg assigns a Sector Perform rating, writing that while he likes the opportunity for the company’s cloud-development tools — the market for “platform-as-a-service,” or “PaaS,” is set to rise by 22% through 2021 — the shares to him seem fairly valued were they to reach $21, which would equate to 10 times the company’s software revenue based on 2019 estimates.