EMC reported earnings of 43 cents a share for the third quarter, below analysts' estimates of 44 cent a share for the quarter. Revenue grew 0.8% year over year to $6.08 billion in the quarter, compared to analysts' estimates of $6.17 billion.
EMC Emerging Storage revenue grew 27% year over year for the quarter, Pivotal revenue grew 16%, and VMware revenue grew 10%.
"This is an historic time for EMC and the entire IT industry. EMC combining with Dell, two highly complementary companies, will create a tech industry powerhouse - a new company with more than $80 billion in revenue that is extremely well positioned for a new era," EMC Chairman and CEO Joe Tucci said in a statement. "We firmly believe that this compelling combination is the best strategic option for all our stakeholders."
TheStreet Ratings team rates EMC CORP/MA as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
We rate EMC CORP/MA (EMC) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. 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 and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, weak operating cash flow and relatively poor performance when compared with the S&P 500 during the past year.
You can view the full analysis from the report here: EMC