TechCrash 2.0 update: VMWare
All the way back in August, I raised concerns about another tech bubble building in light of the valuation of VMWare shooting up to nearly $20 billion on the day of its IPO. Of course, VMWare’s market cap continued to climb, sitting at a high of $30 billion as recently as a few days ago.
Well, with all the turmoil in the financial markets, VMWare’s shares have slumped a bit — like losing nearly $10 billion of that market cap in the past day or so, with a 30% drop in share prices. And that’s for predicting merely 50% annual growth, instead of 70-80%.
Actually, I see this as a good sign. I’d much rather see individual stock bubbles deflate a bit than go through again the relentless downware tech collapse of 2000-2002.
But go back and watch this again. ..bruce..
Category: Economics, Information Technology, Main, Recession Watch