Boston, MA 04/11/2014 (wallstreetpr) – Symantec Corporation (NASDAQ:SYMC) needs a little bit of introduction currently, although the company is already a household name in matters data backup and security. The reason the company needs introduction is that it is currently in a new position of trouble. From its leadership woes to falling backup business, the company has little room to breathe, or maybe oxygen is out of the room.
The company provides data backup solutions and security in the entire digital environment. The company, based in Mountain View, has market value of $14 billion. Shares of the company have been falling in recent times for the obvious reasons that management is a big headache in the company. Nonetheless, it is important to note that shares are up significantly from their lowest point in the past one year.
Many worries than hope
Analysts are a little bit guarded in their comments about the company. However, it can clearly be seen that the market is worried about what is unfolding in and around the business. The company is having leadership problems. It recently fired its CEO Steve Bennett after less than 24 months on the hot job. The top executive tried to restructure the company but ended up hurting performance to the chagrin of the board and shareholders.
Without a leadership, investors are worried that the company might be losing opportunities to grow and defend its market share.
Talk about defending market share and the company is already facing growing competition in its backup business. Rivals such as Axcient Inc are increasingly eating Symantec’s lunch in the data backup environment with cloud solutions. Axcient is, for example, giving away free virtual backup solution in efforts to turn attention away from traditional backup-install that Symantec provides.
Dealing with the problem
Symantec Corporation (NASDAQ:SYMC) must get its house in order to remain a profitable organization. Analysts recommend that the company should divest its backup and storage segment. They say that will allow the company to focus exclusively on the promising security segment, but until then, the company will continue to grasp for breath.
