NEW YORK (TheStreet) -- Shares of EMC Corp. (EMC) continue to trade higher today, and are now up 4.86% to $28.29 in very heavy trading volume after Elliott Management Corp. took a stake of over $1 billion in the date storage company and plans to push it to break itself up, sources told the Wall Street Journal.
The investment, which hadn't been previously disclosed, amounts to about 2% of the company's $55 billion equity value, and would make the hedge fund its fifth-largest shareholder, according to FactSet data.
TheStreet Ratings team rates EMC CORP/MA as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate EMC CORP/MA (EMC) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, expanding profit margins, increase in stock price during the past year and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income."