Bmc Software Inc (NASDAQ:BMC)

Jeff Fischer

The strategic review should yield some plan which would boost the stock. Minimum I would expect is a split of the two major businesses, if the bull case is to be intact.

Reasonably priced, strong technology position, nice upside if it is successfully sold, overall market is in a lull now but should turn-around in the next year or two.

they say they will grow so... I guess I will believe them

This is a bet that the activist investor Elliott Associates will ultimately force the company to sell itself at a premium to today's price.

Deej

Now THIS is how you can profit from the cloud computing transition. BMC is a company with serious competitive advantages and an established "moat" with sticky customer relationships and real pricing power. Earnings growth will be in the 12-20% range for years. At 13x current earnings you're definitely far better off with BMC than say CRM or Netsuite. Definite strong BUY on this stock.

Fool Pick

following Fools smarter than I on this one.

Enterprise Software is cheap, the best stock in class, from this point in near future, for me is $BMC. thanks

364. BMC Software (NYSE: BMC) is a company that I have worked with first person to help assist with a salesforce implementation. BMC appears to be breaking out from it's slide that started in the back half of last year. The fundamentals are there to support it. Target: $45-$50. I'm going to be betting CAPS points on this one. I actually had no idea that they were a $6B company. They seemed a lot smaller and nitch as I was working with them and I loved this aspect. I'm not basing my outperform on this alone but the entry price is ridiculous. This is a stalwart and it's P/E multiple should be higher than the S&P500 and it's at par. That will change with time.

http://beta.fool.com/bradford86/2012/02/08/whats-it-worth2/1804/

MF Pro rec

Seems to be well-rated and is now attractively priced. Said to be a potential acquisition target for (say) IBM.

Cloud Business Software

I have a target of $44/share.

Ford Strong Buy, S&P (4 or 3 stars), Member of S&P 500

to much competetion in this field you have to have the brightest and best and pay what the market will bear and there are others out there who have deeper pockets

BMC's portfolio is the best of the big 4 (BMC, HP, IBM and CA); it is continuing to generate good sales; and they are taking cost cutting measures to ensure that operating margins are at the best possible levels.

BMC Software trades at only 8 times True Free Cash Flow (TFCF) at prices in the upper $20s, so it's very inexpensive. TFCF grew more than 50% annualized the last few years; it will likely flatten this year, but it will not likely go down, so the price remains attractive. Fears in Sept. 2008 that IT spending will slow have hit BMC hard (along with higher costs as it integrates acquisitions -- a temporary issue), although in the last quarter, BMC said customers save enough money on their software, and soon enough after buying it, that they're still implementing it. A slowdown? Sure, it's possible in a weaker economy. But even so, BMC is inexpensive on its free cash flow, so the rebound, when it comes, should be strong.

part of the mattchenzo 50, my own index of the 50 fundamentally best stocks in the s&p 500, almost sure to beat it over about a year or so...