Recent news has been very good for EMC (EMC)shareholders, especially regarding its place in the cloud industry. It is continuing to grow stronger and gain new deals that will greatly benefit the company. As a result, I believe EMC stock will be on the rise in the coming quarters, and the company should remain a fairly solid investment for the long-term as well.
EMC reached its 52 week high of $30 in April of this year. This was on the back of new excitement about its cloud breakthroughs. The excitement has subsided a bit, as news comes in a little more slowly than many may have liked. The stock is back down around $24, but I think it will reach $30 by the end of the third quarter and continue to stay above that mark.
Analysts agree – 26 of 28 analyst give the stock a “buy” rating right now. EMC’s high price target for the year is around $38, and even the low is $28. No one doubts that the company is going up. I think it will go up more than that low estimate, and then stay there for the long-term. Let me explain why.
At the recent EMC Forum 2012 event, EMC highlighted the importance of China when it comes to the cloud computing industry. There has been rapid cloud adoption in the country, and the government is urging for even faster progress. EMC will benefit from this because it has been working on its presence in China.To continue reading, click here.