VMware Stock Price and Value Analysis

Should you buy VMware stock? (NYSE:VMW). Let's see how it does in our automated value investing analysis system.

VMW Free Cash Flow Trend

Free Cash Flow trendline for VMW
Free Cash Flow trendline for VMware

Based on historical returns, we believe that VMware can grow its free cash at a rate of about 1%. That's positive!

AdvantagesDisadvantagesNeutral
None.
  • This company is less known than others.
  • This stock looks overpriced.
  • This company is making money at a modest rate.
  • This company has wild ups and downs.
  • This company pays no dividend.

Inside the VMW Numbers

VMW Price
(VMware stock price per share)
$133.42
[?] VMW Fair Price
(based on intrinsic value)
$105.86
[?] VMW Safety Price (based on a variable margin of safety) $63.52
[?] PE Ratio versus Sector 46% lower than other Technology stocks
[?] PE Ratio versus Industry 138% higher than other Software - Infrastructure stocks
[?] Cash Yield 3.48%
[?] Free Cash Flow Jitter 51%

Is VMware Stock on Sale?

We believe that VMware may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

VMware looks overpriced right now. If you're looking for a bargain in the stock market, you should probably look elsewhere for a great deal. This might still be a great stock to own—but it's not on sale right now.

Should You Buy VMW Stock?

Does VMware have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.