For Immediate Release
Chicago, IL – June 27, 2012 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Microsoft Corp. (MSFT - Analyst Report) , Facebook Inc. (FB - Analyst Report) , salesforce.com Inc. (CRM - Analyst Report) , Cisco Systems, Inc. (CSCO - Analyst Report) and Apple Inc. (AAPL - Analyst Report) .
Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: https://at.zacks.com/?id=5513
Here are highlights from Tuesday’s Analyst Blog:
Microsoft Adds Social Network Yammer
Microsoft Corp. (MSFT - Analyst Report) announced that it has entered into a definitive agreement to acquire Yammer for $1.2 billion in cash. The boards of directors of Microsoft and Yammer have approved the deal but the acquisition is subject to customary closing conditions, including regulatory approval.
Yammer, the San Francisco-based social networking site, specializes in creating private social networks so employees within the same company can form groups for free interaction. The firm has 5 million corporate users and its clientele includes Ford Motor Co, Supervalu and Deloitte.
Yammer will join the Microsoft office division and the division president, Kurt DelBene will remain at the helm. It will continue to be headquartered in San Francisco and led by its current CEO David Sacks.
Microsoft will add Yammer’s corporate-social networking tools to its Office and SharePoint, its cloud-based enterprise offering that includes email, Web conferencing, file sharing and the Microsoft Office suite of Web applications. The acquisition will likely boost file sharing and chat capabilities within Microsoft Office, which generates more than half of Microsoft’s annual operating income. In fact, Microsoft Office’s SharePoint already features some of these capabilities, though they are not widely used in the corporate environment.
Last year, Microsoft acquired online chat company Skype for a massive $8.5 billion. The company also plans to integrate Yammer’s enterprise software offerings into the video-chat service Skype.
Yammer provides features similar to those found on Facebook Inc. (FB - Analyst Report) . The purchase will help Microsoft compete with corporate-social features like salesforce.com Inc.’s (CRM - Analyst Report) Chatter, as well as startups such as Asana Inc.
Reuters stated that Cisco Systems, Inc. (CSCO - Analyst Report) and others are already offering internal social-networking capabilities to their clients. While Microsoft appears to be way behind in the race, it has made a couple of big acquisitions and should not be written off just yet.
Very recently, Microsoft made a bold move by stepping into the intensely competitive tablet market with the launch of its Windows 8-based tablet named “Surface” to compete with Apple Inc.'s (AAPL - Analyst Report) iPad. Microsoft has designed Surface to run on the upcoming Windows 8, the biggest change to the company's operating system in nearly two decades.
We believe that Microsoft’s current investments are supported by its strong balance sheet and expect these to drive the next growth phase, improving prospects of market share gains.
In the near term, however, we expect growing optimism and believe that positive estimate revisions could raise the Zacks Rank from the current #3, which implies a Hold recommendation for the short term (1–3 months).
Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: https://at.zacks.com/?id=5515.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: https://at.zacks.com/?id=5517
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at https://at.zacks.com/?id=5518.
Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
Zacks Investment Research
800-767-3771 ext. 9339