EMC, NetApp, Nimble to Benefit Despite Cloud Threat, Says Piper
May 17, 2014
Grazed from Barrons. Author: Tiernan Ray.
Piper Jaffray hardware analyst Andrew Nowinski today offered his thoughts coming out of the Global Tech Distributor Conference held in New York, where Ingram Micro (IM), Tech Data (TECD), Anvet (AVT) and others spoke about their experiences selling cloud computing wares.
His conclusion from the talks by distributors is that public cloud computing services such as those offered by Amazon.com (AMZN), are “not having as much of an impact on enterprise storage revenue growth as the valuations seem to imply,” and that spending is improving for traditional tech products, and so he’s still bullish on EMC (EMC), NetApp (NTAP), and also on shares of challenger Nimble Storage (NMBL), all of whose shares he rates Overweight…
He notes a report from research firm Gartner, which also talked at the show, indicating that public cloud computing, while it is expanding at 17% in industry revenue annually, only makes up 5% of all enterprise use of data, and that “the vast majority of data at public cloud providers such as Amazon is consumer data.”…
Read more from the source @ http://blogs.barrons.com/techtraderdaily/2014/05/16/emc-netapp-nimble-to-benefit-despite-cloud-threat-says-piper/?mod=google_news_blog