Which is the best (or worst) outcome here: (1) Insight is acquired by a Capgemini, NTT Data, Computacenter, Infosys, or Accenture - say its for their client footprint, onshore presence, vendor logistics, or whatever - or (2) PE steps in. Perhaps its Thoma Bravo, Francisco Partners, KKR, Apollo, etc - for the sake of executing a restructuring and margin optimization buy-and-build strategy without the public stock scrutiny - or (3) things remain the same. The same old same old same old same old Q-after-Q paper cut plan. What is the better option? 1, 2, or 3??? The wide range M&A Premium would place an implied price between $160 to $185/share. Enterprise market cap value minus net debt (~$1.3B) leaves decent forward P/E earnings power. What would you like to see happen? Which would be worse - what might be better?
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As long as we have stellar intern Haboobs out here in the desert, all is good! Now let's go visit Sales Academy folks for some mid-market charms.
@t9 Not in defense of Broadcom, but that's outdated. Under Ram and with Hock distracted by AI chips, they have rebuilt their commercial strategy. VVF with discounts is back on the table. CDW -also not in their defense- picked up most of those customers, can be seen in 10-Q details. VMware is now still viable for those that weren't burned enough to move away fast.
@jy He knows nothing about the partner end of things, so he's learning on the job, and the VMWare folks are not taking cr-p from anyone these days, it's their strategy to just focus on 1000 customers and not the channel. This is not new news but the strategy since they were acquired. Same thing happened with the Symantec products.
@j6 Still prohibited from selling VMware/Broadcom, that took software revenue down -19%! And of course it was never disclosed.
I really want to know someday, was it Jack that messed that up. Did he learn a lesson the hard way in his first partnership meeting?
Another 52-week high today??? - following a decent earnings call??? Back in May, this stock was $65. Today, it's $150. If things are bad - then why does the value continue to lift? Perhaps, just maybe - there's a turnaround story being written here? Miss it - Make the most of it - or Manifest it? Which camp are you in? I haven't jumped in yet... Lot's of questions, seeking a few answers or "insights" from the masters.
Firing services folks to make your Services profit look like they are increasing.. well? A healthcare web scraping and assembly of data is THE only AI customer highlight for earnings? Sounds desperate to come up with some kind of "we are crushing it" story.. my cat could of coded that sh--e..
The old vCORE guys infiltrate and merge it into AHEAD
Severance and restructuring expenses, net = 70% INCREASE
That's a lot of laying people off.. Nice pop on the whacking amongst all that GROWING.. LOL... HAHAHAHHAH
Not really sure anyone would want to pay a premium for the overvalued stock. If M&A were a possibility, Accenture would scoop up CDW with it's 200,000+ customers. They just cited 300 basis points upwards in market share in reach for next qtr, so they have movement unlike Insight. SHI, AVI-SPL, TD Synnex, Softchoice have all taken market share from Insight during their unending strategy shifts, that's all on Turtle Dude and Jack-Attack knows nothing about the reseller space. Once they leave, the customers don't come back, especially when you treat them like sh-t.
PE (ValueAct) already made a move on the dog, and dumped everything cause the stock was tanking and there was no long term value compared to others out there or even private companies that are OWNING AI in the mid-market and SMB space, Insight is not one of them. Plenty of other more agile and proven companies that would be a lot more attractive.
Stay the same course is what they are going to do given no new real strategy shift, cause you know they only hire the best and brightest of the C- TEAM. When all you are doing is laying people off and trying to hit a qtr with OpEx reduction and share buy backs, its not really a growth story. Insight over invested on acquisitions that have not made a huge material difference and are now stuck with a lot of extra headcount which is dragging the bottom line coupled with quite a bit of debt vs the peers in the market.