NEW YORK (TheStreet) -- Red Hat (RHT) shares were tumbling Friday on a knee-jerk reaction to the company's lighter-than-expected fiscal 2015 guidance given during its fourth-quarter earnings call Thursday evening. Nevertheless, Wall Street analysts remain steadfastly in favor of the company, maintaining a consensus "outperform" view on the leading provider of open source solutions.
Digging beneath the headline numbers opens up a more bullish view on the stock as it displays a company with solid growth and financial standing, and who merely took a conservative approach to guidance.
For the latest quarter, total deferred revenue, or the business that Red Hat has already booked and billed, came in at solid double-digit growth of 14% year-over-year. Deferred revenue serves as a good read on the existing, renewable base of the business.
Meanwhile, short-term deployed revenue was more than $950 million, another solid figure, which is expected to turn into revenue over the next 12 months as it moves off the balance sheet and onto the income statement with the delivery of services.
Another noteworthy indicator was Red Hat's latest operating cash flow results. Fourth-quarter operating cash flow jumped 35% year-over-year to $185 million, while full fiscal-year operating cash flow increased 16% to $541 million. This comes as Red Hat reported more than 70 deals of over $1 million in the fourth quarter.
"We're seeing really strong interest around particularly OpenStack and OpenShift, which are our Infrastructure-as-a-Service and Platform-as-a-Service offerings," Red Hat CEO Jim Whitehurst told TheStreet on Friday. "We're really starting to see people put those into production this year, which is great to see."