Nomura Securities upgraded Informatica (NASDAQ: INFA) from Neutral to Buy but cut its price target from $38 to $33, following yesterday's Q3 warning and subsequent 23 percent sell-off. The new price target suggests 27% upside from current levels.
"This will likely take several quarters to get through, although we like the current risk / reward in the stock," analyst Rick Sherlund said. "New sales management is in transition and the recovery in license revenues will likely take several quarters."
The firm's revenue / EPS estimates for 2012 and 2013 are now $798 / $1.28 and $865 / $1.40 versus estimates prior to the pre-announcement of $827 / $1.45 and $930 / $1.63, respectively.
For an analyst ratings summary and ratings history on Informatica click here. For more ratings news on Informatica click here.
Shares of Informatica closed at $26.04 yesterday, with a 52 week range of $23.83-$54.49.
institutions will dump this stock all month to get it off their books for institutional year-end 10/31. Look for sub $20 as license revenues will take "several quarters to get back on track". Lame upgrade, and they use non GAAP EPS estimates which is #$%$, you have to accommodate stock based comp and dilution, what a scam.