Leerink Partners Remains Bullish on Cerner (CERN) Following Weak 3Q Report
- Top 10 News for 12/2: Crude Rips on OPEC Cut; Starbucks' Schultz Steps Down; Nonfarm Payrolls Flat in Nov.
- Unemployment Rate Drops to 4.6%
- Bond yields slip on U.S. jobs data, euro steady before Italy vote
- Alibaba (BABA) Founder Jack Ma Discuss Plans to Retire; 'I Don't Want to Die at the Office'
- Starbucks Coffee (SBUX) CEO Howard Schultz to Step Down, Appointed Executive Chairman; Kevin Johnson New CEO
Get inside Wall Street with StreetInsider Premium. Claim your 2-week free trial here.
Leerink Partners maintained an Outperform rating on Cerner (NASDAQ: CERN), and cut the price target to $65.00 (from $70.00), following the company's 3Q earnings report. CERN reported adjusted EPS of $0.59 compared to the consensus of $0.60. Revenue of $1.185B missed the consensus estimate of $1.244B.
Analyst David Larsen commented, "CERN reported F3Q:16 results. Revenue, adjusted EPS, and bookings all missed our estimates and consensus. While the quarter was light, CERN posted its second best bookings quarter in the history of the firm, and preliminary 2017 guidance looks decent. We believe that CERN is approaching its long-term steady state of ~5-10% y/y growth in bookings and ~10% top-line growth, which in our view means that the stock deserves to trade at ~21.7x our NTM EPS estimate implying a share price of $65.00. While the market is slowing, management indicated that the pipeline is "at an all-time high," and our MEDACorp checks consistently indicate that CERN is winning most of the deals that come to market."
Shares of Cerner closed at $57.34 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Oppenheimer Cuts Price Target on Workday (WDAY) Following 3Q; Reiterates Outperform
- Cowen Cuts Price Target on Workday (WDAY) Following 3Q
- BTIG Cuts PT on Workday (WDAY) to $88 Following Q3 Results; Affirms at 'Buy'
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!