Symantec Corporation (NASDAQ:SYMC) is considered to be the largest internet security software maker in the United States, and is known best for its’ development of Norton Computer Anti-Virus Software.

The talks seem to be intense about splitting the current business structure into two separate entities – one that only sells the internet security programs, and the other one will be responsible for the information storage side of the current corporation.

Symantec Corporation (NASDAQ:SYMC), in the 1990s, helped to pioneer the technology that assisted individuals to be protected from computer hackers, with their Norton antivirus programs.  But in the years since, the company has seemed to be falling out of step with the current internet security industry.  This fact is reinforced by the recent security breach of Target, Home Depot, P.F. Chang’s and JPMorgan.

A spokeswoman for Symantec Corporation (NASDAQ:SYMC) has declined to comment on this potential split, because she stated that the company does not comment on rumors.  She considered these to be rumors, because the source generating the rumor continues to remain anonymous.

During 2005, Symantec Corporation (NASDAQ:SYMC) acquired, for 10.2 billion U.S. dollars, Veritas Software Corporation, which is a company that makes data storage units.

Since this time, several Symantec Corporation (NASDAQ:SYMC) CEOs have been faced with the issue as to whether or not to split the company.  Enrique Salem, who held the CEO position from 2009 until 2012, and Steve Bennett, who was the CEO of Symantec from 2012 until he was terminated in March of 2014, both refused to break up the company.

The new CEO of Symantec Corporation (NASDAQ:SYMC), Michael Brown, was recently officially promoted from interim to permanent chief executive officer. Mr. Brown is in support of splitting the company into different units, and he has been quoted in saying; that he looks forward to keeping the focus on delivering the best service and products to customers.

The revenue from the products used for data storage has taken a negative turn, but the security software part of the company has grown more than 10% on an annual basis.

If this split happens, it means that Symantec Corporation (NASDAQ:SYMC) would join the other technical companies; that are spinning off into smaller entities.  This move is in an attempt to capitalize on quicker growing portions of the business operations.

Hewlett-Packard Company (NYSE:HPQ), for example, had recently made an announcement that it would divide into two companies.  This separation would mean; that the printer/computer side of the business would be separate from its’ other company operations that are growing at a faster pace.

Symantec Corporation (NASDAQ:SYMC) opened today at 23.91 and at 12 noon (Eastern Standard Time), it was 23.43.  The market cap is 16.10 B with 93% inst. ownership.  The 52 week outlook range is between 23.23 and 23.99.

Hewlett-Packard Company (NYSE:HPQ) opened at 34.89, and rose to 35.37 by 12:00 EST.  They are 79% inst. owned, and have a market cap of 66.67 B.  The 52 week range is 20.25 and 38.25.

Get Free Updates and Stock Alerts!

*We only send one email per week