Ready or not, cloud computing is coming to your organization. Are you prepared for the impact cloud computing will have on IT? Stock markets have a sense of reacting ahead of trends and sometimes this irrational exuberance even goes to the extent of giving stratospheric premiums, high market cap and forward PEs ahead of their earnings. We have seen it in the recent Linkedin.com IPO. Read some of the Cloudpitches by Wallstreet analysts. (Disclaimer: I have no holdings/interests/affiliation with any of the Companies/stocks quoted below or with any of the analysts, firms mentioned in this post)

1. Wallstreet Loves the Cloud, what about Mainstreet and
Domainstreet?
Trends are your friends. Some trends are too big and disruptive that trying
to pen them into a single post is doing injustice to our readers and to the trend itself. With
today’s post, I culminate my three-part series on Cloud Computing.
I’m a believer in growth stocks. Some growth stories are inevitably better than others.
Out the Fakers, elevate the Breakers. Peter Lynch, on investing in dud stocks, once quoted
them as “pulling the flowers and watering the weeds.” Ignoring the cloud would
tantamount to the same. Head in the Cloud, Feet on the Ground. Invest in the Clouds or be
left behind.
Ready or not, cloud computing is coming to your organization. Are you prepared for the
impact cloud computing will have on IT? Stock markets have a sense of reacting ahead of
trends and sometimes this irrational exuberance even goes to the extent of giving
stratospheric premiums, high market cap and forward PEs ahead of their earnings. We have
seen it in the recent Linkedin.com IPO. Read some of the Cloudpitches by Wallstreet
analysts.
(Disclaimer: I have no holdings/interests/affiliation with any of the companies/stocks
quoted below or with any of the analysts, firms mentioned in this post)
Wallstreet Goes GA-GA over the Cloud:
1) Cody Willard
Cody scours the news everyday as he applies his trademark “flip it” and “revolutionomics”
principles to the trends shaping our world. Some of Cody’s trading career highlights
include:
• Launching a tech-centric long/short equity hedge fund on October 1, 2002, just
eleven days before the Nasdaq finished its two-year long 75% decline.
• Owning Apple for his hedge fund from $7 in March 2003 to $160 in October 2007
when he closed his hedge fund and sold all his stocks to become a TV anchor.
• Owning Google for his hedge fund from $95 the day it came public in 2004 to $550
in October 2007 when he closed his hedge fund and sold all his stocks.

2. Cody started a Cloud Revolution Stocks website. In his own words – “ As everybody
starts to realize just how big the potential of the cloud is and just how fortunes will be made
selling into and servicing that cloud, that balloon will bubble. Invest in the Cloud
Revolution stocks before the rest of the Street takes them to truly bubbled heights in
coming months, quarters and years. The Cloud is going to be one of the biggest growth
industries in the history of business.”
2) Jim Cramer
Jim Cramer needs no introduction as he is a familiar face on CNBC. You
may love him or hate him, but you can’t avoid him.
Here are his views on Cloud Computing…
3) CRN’s Edward Moltzen’s “Cloud Portfolio” performance:
Edward Moltzen says, “A little more than a year ago, I picked a group of cloud computing
stocks that represented various corners of the space and put them into a fictional market
basket. I invested about $1,000 of fictional dollars in each, because I wanted to see how
this then-emerging segment would fare over time”
This fictional portfolio was formed on Nov. 27, 2009. Since then, as a group, this cloud
portfolio has grown more than 76 percent. As a group, this cloud portfolio’s 76 percent
return has dwarfed Nasdaq’s 27-percent growth, Dow Jones’ 13-percent growth, and the
S&P 500’s 16.7-percent growth over that same span.
4) Orient Securities LLC has predicted that by 2015, cloud computing in China will be a
1 trillion yuan market. A special Cloud Valley (Silicon Valley watch out!) is being set up in
China. Beijing Cloud Valley was founded at the Beijing Economic Technological
Development Area. 10 companies with a total of 700 employees & up to 500 million Yuan
of capital has gone into Cloud-Valley so far.

3. 5) WallStreetNewsNetwork.com has a downloadable Excel database of over 20
different publicly traded companies with a connection to cloud computing.
6) Investors can track the “Cloud Computing Stocks Index” for performance trends and a
suite of other metrics at Tickerspy.com
CEOs Go GA-GA over the CLOUD:
A just-in IBM study of more than 3,000 global CIOs shows that 60 percent of
organizations are ready to embrace cloud computing over the next five years as a means of
growing their businesses and achieving competitive advantage. From a country standpoint,
seven out of 10 CIOs in the U.S., Japan and South Korea, and 68 percent in China, now
identify cloud as a top priority.The report can be downloaded here.
1) In 2009, Oracle CEO Larry Ellison launched into a tirade on cloud computing.
He slapped the buzzwords on technologies that weren’t really new at all. Fast-forward to
Oracle OpenWorld in 2010 and Oracle is now well and truly on the cloud bandwagon.
2) Infosys Cloud Blog – If Warren Buffett was a CIO, he would invest in the cloud.

4. 3) The cloud wave is the “biggest and most disruptive change” the IT industry has
everseen, EMC president and CEO Joe Tucci said in his EMC World keynote speech in
Las Vegas recently.
Tucci told an audience of 6,000 that in his 40 years of working in the IT industry he has
never seen the infrastructure layer, application layer and end-user layer all transform
simultaneously.
For those eager to know more about CLOUD, there is a mega event round the corner - The
CLOUD Expo
Cloud Expo was announced on February 24, 2007, the day the term “cloud computing” was
coined. That same year, the first Cloud Expo took place in New York City with 450
delegates. This coming June 6-9, 2011, Cloud Expo is returning to New York with more
than 7,000 delegates and over 200 sponsors and exhibitors. Cloud Expo is the new PC
Expo, Comdex, and Internet World of our decade. By 2012, more than 50,000 delegates per
year will participate in Cloud Expo worldwide.