Pick of the Software Stocks – Niche Software Leaders: 2 buys, 1 hold

Article Excerpt

SYMANTEC CORP. $17.88 (Nasdaq symbol SYMC; SI Rating: Average) (1-408-517-8000; www.symantec.com; Shares outstanding: 846.4 million; Market cap: $15.1 billion) makes software that helps protect computers from viruses and electronic attacks. Its best known product is the top selling Norton Anti-Virus program. Symantec continues to cut its reliance on sales to consumers by increasing its corporate operations. Security products and services for businesses also give it steadier revenue streams than consumer software sales. As part of this strategy, Symantec spent $13.5 billion in 2005 to acquire Veritas Software Corp., which specializes in data storage products for businesses and corporate security products. The deal was one of the biggest software industry acquisitions ever. To further expand its corporate offerings, Symantec acquired Altiris Inc. in April, 2007 for $1.05 billion. Altiris’s products let computer administrators easily install and manage software across a wide variety of computers attached to a network. In December, 2007, Symantec bought Vontu Inc. for $350 million. Vontu’s software helps companies secure sensitive data…