Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Enterprise systems management software shop Quest Software
So what: Quest's first-quarter results missed Street estimates on both the top and bottom lines, hampered by sliver-thin margins as operating costs skyrocketed. The company just opened a brand-new operations center in Ireland, and those projects don't come cheap.
Now what: Sales increased by 10% year-over-year but would have flatlined if not for a couple of recent tuck-in acquisitions to boost revenue. I read that as a lack of excitement for Quest's systems management suite -- and perhaps an opportunity for CA
Interested in more info on Quest Software? Add it to your watchlist.