Two U.S. software makers: 1 buy, 1 hold

Article Excerpt

SYMANTEC CORP. $27.71 (Nasdaq symbol SYMC; TSINetwork Rating: Average) (650-527-8000; www.symantec. com; Shares outstanding: 614.5 million; Market cap: $17.4 billion; Dividend yield: 1.1%) sells computer-security technology, including antivirus and email-filtering software, to businesses and consumers. Last year, the company bought Blue Coat for $4.65 billion. That firm’s products protect clients from cyber-attacks through their websites and networks. Blue Coat is also a leader in security for companies that use the Internet to access their data stored on remote servers. Those business clients now number over 15,000. The new operations give Symantec a big marketing and research edge over competitors Palo Alto Networks, Fire- Eye and Check Point Software. As well, Blue Coat’s CEO Greg Clark has now taken over at Symantec. The company’s revenue in its fiscal 2018 second quarter, ended September 30, 2017, jumped 26.7%, to $1.24 billion from $979 million a year earlier. Symantec’s per-share earnings rose 33.3%, to $0.40 from $0.30. Acquisitions—including the purchase of LifeLock Inc. for $2.3 billion—drove the…