EMC's (NYSE:EMC) First Half Under Pressure

Facing several obstacles in the first half, Canaccord says they see EMC (NYSE:EMC) having to answer questions about core margins, Dell attrition, and sales cycles, if they're going to be able to shake off what appears to be a slow half for them.

Canaccord says, "As 2011 unfolds, EMC has the potential to increasingly come into focus as a less expensive (by default) stock to own for those looking to participate in the data center re-architecting theme. However, questions around first-half obstacles – including Dell attrition, core margin upside and sales cycles/seasonality – leave us looking more toward the back half...Pre-open on Jan. 25 we expect Q4 revenue in line at $4.78B (+16.6%) with our $0.40 estimate vs. consensus of $0.41."

Canaccord Genuity reiterates a "Hold" rating on EMC, which was trading at $24.76, up $0.22, or 0.90 percent, as of 12:59 PM EST. Canaccord raised their price target on EMC from $22 to $25.