Cloud Computing Helps VMWare Stock Reach for the Skies

VMWare is up in after-hours trading after strong earnings were reported on Monday, thanks to growth in the virtualization solutions sector and an increased integration of cloud computing solutions. Analyst averages of 60 cents earnings per share on revenue of $1.05 billion were short of the mark, with the company reporting Q4 2011 EPS of 62 cents per share on revenues of $1.06 billion. Earnings estimates from Estimize were closer to the mark, at 63 cents per share. The company's revenue for the year came close to the $4 billion mark for the first time. Shares jumped over 5% after the close of the bell on Monday as investors see great growth potential in VMWare.VMWare is one of the many beneficiaries of Apple's (NASDAQ: AAPL) growing market share, as the demand for virtualization solutions increase as people move across OS platforms. Throughout the last decade the company saw demand for its VMWare products skyrocket such as VMWare Fusion, which allows Apple computers to use Microsoft (NASDAQ: MSFT) Windows and other operating systems alongside the native Macintosh operating system.The company's stock has experienced steady growth since the late-2008 market crash, with a growth of over 285% since the beginning of 2009, while operating margins for the company increased steadily over the past four years.Analysts have expected VMWare's growth to continue as cloud computing becomes increasingly popular, thanks ...

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