RBC Capital analyst Matthew Hedberg raised his price target for VMware to $160 from $150 and maintained an Outperform rating on shares after the company delivered a "strong" start to the year, highlighted by license billings and license revenue, which both grew 21% year over year. In a research note to investors, Hedberg said he believes VMware is well positioned for growth in non-vSphere including NSX, vSAN, VxRail and End User Computing, which he says are all "moving the needle." He also sees the potential for $1B in revenue synergies through Dell, and that while some investors may shy away from VMware given the Dell ownership, he thinks that it "remains in Dell's best interest to let this disruptive and well positioned asset thrive."