Cray could potentially end up being takeover target for bigger peer such as Hewlett Packard, portfolio manager says
Cray (NASDAQ:CRAY), the Seattle, Washington-based supercomputer maker, could potentially find itself on the receiving end of takeover interest if it is unable to fix the technical setbacks it has encountered, reported The National Post on 6 January.
Tom Antony, president and portfolio manager at Peregrine Investment Management, said in a report from the newspaper's Financial Post section that Cray recently suffered a blow because of technical setbacks with the new Knights Landing chip from Intel. Among other things, he added that if the issues persist, Cray's solid intellectual property could render the company a takeover target for a bigger rival such as Hewlett Packard Enterprise, the Palo Alto, California-based technology solutions company.
Cray's market cap is USD 900.4m.