Dallas, Texas 09/04/2014 (FINANCIALSTRENDS) – FireEye, Inc. (NASDAQ:FEYE) the internet security player, with a wide interest in all things technology to cloud and more is definitely plum for the picking by diverse cash-rich companies which need a company with skills and the legacy to deliver pioneering services. The internet security standards which FireEye offers are definitely outstanding and will drive the valuation of any interested buyer.
Where many speak of Hewlett Packard as a likely suitor who could gain from FireEyes’ varied exploits; many feel it requires a more dynamic suitor, given the technology wealth and expertise it holds.
FireEye, Inc.(NASDAQ:FEYE) with its diverse cloud as well as cyber-attack disruptive technologies, it cannot be denied is under stress on the financial results. But it promises growth due to the networking domain services it is able to support.
FireEye, could say some analysts, gain voluminous if it were to be picked up the likes of VMware, the virtualization people.
As VMWare drives vertical integration with networking and data centers, the likes of FireEye, Inc.(NASDAQ:FEYE) are value-addition.
Though conservative evaluation would place FEYE in the bracket of $6 to $8 million market cap, which would be in line with peers of the networking and internet security sector, the lucre here for the investor would be the proposed 50% to 100% returns the shareholder can expect if valued at current market levels.
FEYE is definitely set for technology expansion and needs the right fulcrum partner to achieve these goals.
FEYE continues to set the technology standards quietly and committedly by way of detection, monitoring as well as logging and prevention of cyber threats. The fact that it has only $171million in the bank does not take away the greatness of this company. VMWare should definitely look at FEYE, before the likes of HPQ begin talks.