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This stock no longer trades (delisted November 22, 2023)

Delisted / no longer publicly traded (per market data provider) Everything below is based on the last available data — treat it as historical, not a live read.

Stock

VMware

VMW
56
Software - Infrastructure · Technology
Price
$142.48
-7.43 (-4.96%)
Market Cap
$61.52B
Exchange
New York Stock Exchange
Winston Score
56
Historical score — this stock no longer trades, so the score is frozen at the last available data.
Data as of Oct 18, 2026 · filings through Aug 4, 2023

§How the score breaks down

Quality
Strong
21/30
Growth
Weak
3/20
Cash Flow
Exceptional
10/10
Stability
Mixed
3/10
Valuation
Good
6/10
Ownership
Good
10/15
Dividends
Not counted
n/a

53 of 95 counted points = Winston Score 56. Pillars marked n/a do not apply to this company and are left out of the total.

Share count rising — dilution

+1.1% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 421.1M (2019) → 425.9M (2023)

§Winston Score History

The full picture

VMware makes software that lets companies run multiple virtual computers on a single physical server. Its core products help businesses manage data centers, cloud computing, and networking. VMware is one of the most widely used virtualization platforms in the world, serving enterprises of all sizes.

The company earns revenue through software licenses, subscriptions, and support services, with a growing shift toward subscription-based pricing. VMware operates globally and was acquired by Broadcom in late 2023. Its high gross margins reflect the strength of its software-driven business model, and deep integration into enterprise IT infrastructure creates significant switching costs. The key question going forward is how Broadcom's ownership reshapes VMware's product strategy, pricing, and customer relationships, which has already drawn scrutiny from some longtime users.

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+2.2% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

+35.4% YoY

YoY Growth Rate

EPS growth accelerating

R&D Spend

$3.3B/ year

↑ Rising (+9% vs prior year)

24.9% of revenue

1.7x the sector average (15%)

Investing heavily in future products and technology

Insider Activity

49.2%ownership

Insiders own a meaningful stake in the company

Cash Position

Cash flow positive

$7.1B cash & investments

Quarterly Free Cash Flow

→ Burn rate stable

Company generates more cash than it spends — no dilution risk from fundraising

Heavy R&D investment

VMware is putting 25% of revenue into R&D and that number is rising. That's 1.7x the sector average. And they're generating enough cash to self-fund it.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

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Quality

Profit per sale
Gross Margin
81.3%
Premium pricing power — 81.3% gross margin
Profit after running costs
Operating Margin
16.1%
Healthy — 16.1% operating margin
Return on the money invested
ROCE
13.8%
Good — 13.8% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

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Growth

Sales growth
Sales YoY
+3.6%
Slow sales growth (+3.6% YoY)
Profit growth
EPS YoY
-10.7%
Earnings shrinking (-10.7% YoY)

Earnings per share down more than 10%. Either a bad year, or a real decline.

How steady the profit is
EPS Consistency
1/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Profit that turns into cash
Cash Conversion
357%
Turns 357% of profit into real cash
Spare cash per sale
FCF Margin
34.2%
Converts sales into free cash efficiently (34.2%)

Free cash flow margin above 20%. Out of every $100 in sales, more than $20 is real cash they keep.

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Stability

What it owes vs what it owns
Debt / Equity
4.41
Heavy debt load (4.41)
Covers its interest
Interest Cover
5.97x
Adequate interest coverage (6.0x)

Interest coverage between 3 and 8. Profits cover interest several times over.

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Valuation

Price vs profit
P/E Ratio (TTM)
42.8x
Pricey — P/E 42.8

P/E over 35. The market is pricing in heavy, sustained growth.

Cheaper or dearer next year
P/E vs Forward
+15.0
GROWING
Earnings expected to grow meaningfully — cheaper on forward P/E (42.8 → 27.7)

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Dividends

Not applicable for this business.
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