Back to top

Analyst Blog

CA Technologies (CA - Analyst Report) is rolling out newer and better solutions at regular intervals. The company recently announced the latest version of its Infrastructure Management solutions—CA Infrastructure Management 2.2—which is capable of proving for Citrix XenDesktop 7. 

CA has completed nearly eight months of collaboration with Citrix, which has enabled them to deliver some innovative solution through the “CA Infrastructure Management” for enterprises and also for “CA Nimsoft Monitor” for managed service providers (MSPs). This will help the customers to gain better control and as also improve visibility into the performance, activities and events of their infrastructure and virtual desktop services.

Moreover, CA has announced a recent collaboration with SAP, whereby the former will extend its application-performance solution offerings and an application-performance services implementation package. As part of this joint collaboration, CA Technologies will also deliver a new solution, christened CA Application Performance Management Rapid-Deployment Solution.

The implementation of this service will help customers measure the performance and quality of Web-based, end-user transactions as the application moves through a network. CA Application Performance Management Rapid-Deployment Solution will help companies to work with the SAP Extended Diagnostics suite.

Apart from winning new deals, the company will benefit from the recovery in the Mainframe segment during fiscal year 2014. Over the years, the growth in the Mainframe market has had a significant impact on CA’s results. Moreover, the order renewal in this segment also results in higher revenues, as customers are offered a high-value product.

Apart from this, the Enterprise Solutions business in the coming year is expected to generate a 20.0% margin, relative to 8%-12% margins the business segment has produced over the past two-plus years. Cost restructuring and other such initiatives are also in place.

Overall, the growth path for CA looks encouraging, with the Enterprise solution expected to move up and the demand for cloud-based solutions picking up. On the other hand, the European business is yet to catch up.

CA currently has a Zacks Rank #3 (Hold).

Investors can also consider other stocks in the technology industry that are currently performing well, such as Aspen Tech Inc. (AZPN - Snapshot Report), SanDisk Corp. (SNDK - Analyst Report) with a Zacks Rank #1 (Strong Buy) and Western Digital Corp. (WDC - Analyst Report), which has a Zacks Rank #2 (Buy).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
PLANAR SYST… PLNR 4.44 +5.21%
BITAUTO HOL… BITA 81.71 +5.12%
CTPARTNERS… CTP 16.66 +4.26%
CHINA BIOLO… CBPO 47.91 +3.30%
MALLINCKROD… MNK 72.94 +2.85%