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Fast Money DisclaimerFast Money BiosAbout Fast MoneyRapid RecapFast Money Home
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Sep.24
5:41 PM ET
Thursday, 24 Sep 2009
Red Hat: Tech Spending On Rebound?

Investors are talking about Red Hat [RHT  Loading...      ()   ] after the open-source software firm beat Street' estimates with a net profit of $28.9 million, or 15 cents per share, compared with $21.1 million, or 10 cents per share, in the year-ago quarter.

The world's biggest provider of Linux software -- whose rivals for corporate customers include Novell [NOVL  Loading...      ()   ] and Microsoft [MSFT  Loading...      ()   ]-- has been weathering the recession well as the popularity of open-source software grows and it sells most of its products via subscriptions that lock in customers over multiple years.

(RHT)
Loading...       (%)

"In general I'm hearing very positive things from the CEOs of most of the open-source companies," Red Hat chief executive Jim Whitehurst says.

"We are starting to see more discussion of new projects from customers for the first time in a long time."

Should you take that to mean tech spending is on the rebound? Decide for yourself. Watch our interview with CEO Jim Whitehurst, now!


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Trader disclosure: On Sept. 24th, 2009, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Adami Owns (AGU), (BTU), (C), (GS), (INTC), (MSFT), (NUE); Terranova Owns (F); Terranova Owns (F) Calls And (F) Puts; Terranova Works For (VRTS); Finerman's Firm Owns (BAC) Preferred Shares, Finerman Owns (BAC) Preferred Shares And Owns (BAC); Finerman's Firm Owns (WFC) Preferred Shares And Is Short (WFC); Finerman Owns (WFC) Preferred Shares; Finerman Owns (RIG); Finerman's Firm Owns (MSFT), (NOK), (PBR), (WMT), (RIG), (TGT); Finerman's Firm Is Short (IJR), (MDY), (SPY), (IWM), (USO); Seymour Owns (AAPL), (AA), (BX), (EEM), (RIMM), (BAC), (RIG), (SBUX), (FXI)

For Steve Cortes
Cortes Is Short (FXI)
Cortes Owns S&P Futures
Cortes Is Short The Euro
Cortes Is Short British Pound

For Mark Mahaney
Citigroup Has Received Compensation From (GOOG)
(GOOG) Has Been A Client of Citigroup In Past 12 Months
Citi Is A Market Maker In Shares Of (GOOG)


CNBC.com with wires

© 2009 CNBC.com

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