BMC's Savvy Purchase of BladeLogic By Bill Trent About this article: Shares of BMC Software took a minor hit last week after the company announced it was buying BladeLogic . BMC's shares have subsequently bounced around in the low $30s, as investors wrestle with the seemingly pricey purchase price of more than 100 times Bladelogic's projected 2009 earnings. I think investors should look past the deal to BMC's attractive valuation and strong fundamentals. BMC's software helps companies more efficiently manage their mainframe computer systems. The company competes with IBM , Hewlett-Packard and Computer Associates . BMC had a lower growth profile than many investors seek from tech stocks. The BladeLogic acquisition should help, as that company operates in the more attractive data center automation corner of that universe. While the initially negative market reaction gives the impressions that BMC overpaid for BLOG, I'm not so sure. The $800 million purchase... Or, call us at 1-866-321-TSCM (8726) Monday-Friday, 8 a.m.-6 p.m. ET. Outside the U.S. and in Canada, call 1-212-321-5200. More Stories From RealMoney Durable Goods Up Move Down the Tech Food Chain Jobless Claims Still High Bulls' Tenacity Is the Big Question Mark Should You Buy It? Pharmaceutical Product Development Bad News Trumps All Support for Banks Holds, For Now Bummer, Yields Are on the Rise Money on the Line Makes a Big Difference Structured Products: Unsafe at Any Price MORE STORIES FROM REALMONEY

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