As previously reported, Deutsche Bank analyst Karl Keirstead upgraded VMware (VMW) to Buy from Hold, citing growing evidence that large enterprises are embracing a hybrid model, which reduces his view of the risk to VMware from the threat of adoption of the cloud and Amazon Web Services (AMZN).

His recent checks indicate that VMware technology is proving more durable than he would have thought 12-18 months ago as enterprises migrate workloads to the public cloud at a slower than expected pace, Keirstead tells investors. He raised his price target on VMware shares to $120 from $110.