Fusion-io advances after JPMorgan ups rating to Overweight

theflyonthewall.com

Fusion-io (FIO), which develops products that accelerate databases, is climbing after JPMorgan analyst Mark Moskowitz upgraded the stock to Overweight from Neutral in a note to investors earlier today. Fusion-io's competition isn't ramping up as quickly as Moskowitz had forecast, the analyst explained. Although some big players are trying to enter the data acceleration market, Fusion-io continues to be the leader in the sector, according to the analyst. Furthermore, the company could lower its prices by selling more of its products through its own sales force, and reducing its reliance on third parties to sell its systems, the analyst believes. This change could cause the company's revenue growth to accelerate this year, wrote Moskowitz, who increased his price target on the stock to $30 from $28.50. In early trading, Fusion-io gained 55c, or 2.76%, to $20.48.

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