Broadpoint.AmTech Maintains a 'Buy' on Research In Motion (RIMM); Recurring Revenue Model Underappreciated Feb 10, 2010 11:01AM

Broadpoint.AmTech maintains a 'Buy' on Research In Motion (Nasdaq: RIMM), price target $80.

Broadpoint analyst says, "We maintain our positive bias on RIMM and look for potential catalysts at next week's MWC event in Barcelona and RIMM's annual WES conference in late April...With three weeks left in the quarter, we believe RIMM is on-track to meet or beat the mid-point of its $1.23-$1.31 guidance and consensus of $1.27 on $4.3bil. Momentum into new geographies (particularly Europe) and key products including the 8520 Curve, the 9630 Tour and the higher-end 9700 Bold2 have carried into 4Q...We believe RIMM is executing on all key metrics relative to our forecast of 4.6mil subscriber additions, 10.9mil units, a $319 ASP and a 43.1% gross margin. ..We expect RIMM to extend its stronghold in the enterprise to the consumer with an updated webkit browser, and new platforms and content partners...RIMM's NOC and push-based services have helped create high-margin recurring service revenue that we estimate will contribute close to half of earnings in FY11. At 100mil long-term subscriptions, we think RIMM can generate ~$4.00+ in EPS from services and ~$2.50 from handset replacements."

To see all the upgrades/downgrades on shares of RIMM, visit our Analyst Ratings page.


Brigantine Advisors Reiterates a 'Buy' on Compellent Technologies (CML); Demand Returning But Competition Tougher Feb 10, 2010 10:58AM

Brigantine Advisors reiterates a 'Buy' on Compellent Technologies (NYSE: CML), raises price target to $22.25 from $18.75.

Brigantine analyst says, "The company added 136 customers in Q3, we expect CML to add approx. 150 new customers in Q4 with revenue from the existing customer base to contributing approximately 50% of revenue, above historical norms (40-45 is the norm). The company continues to invest in sales growth, with the number of employees as of the September quarter climbing to 360 from 340 in the previous quarter...As written in prior research, our check are indicating that the Q1 deal pipeline has started off with a blast which we believe will lead to CML providing strong Q1 revenue guidance. We are however, Seeing HP (NYSE: HPQ) and Dell (Nasdaq: DELL) moving higher up into the storage market. Both are offering free maintenance and installation which are causing problems with channel partners. While this enhances competition, it also drives angered channel partners closer to CML. Additionally, the new EMC (NYSE: EMC) CLARiiON with storage tiering will make competition even more aggressive in the coming quarters which we will monitor closely...Based on fundamentals, we believe the stock may have limited upside from current levels. However, we do believe the company is one of only a handful of companies with storage virtualization built into its architecture and is still growing 30+% year over year, and therefore is a prime acquisition candidate."

To see all the upgrades/downgrades on shares of CML, visit our Analyst Ratings page.


Brigantine Advisors Reiterates a 'Buy' on Teradata (TDC); Return to Growth in 2010 Feb 10, 2010 10:55AM

Brigantine Advisors reiterates a 'Buy' rating on Teradata Corporation (NYSE: TDC), raises price target from $32 to $34.50.

Brigantine analyst says, "TDC is set to report Q4 (December) results on February 11th, 2010 after the market close. We are expecting a strong quarter with revenue of $480M and EPS of $0.36, which compare to consensus of $478.2M/$0.37 and $425M/$0.38 in Q3 and $493M/$0.45 in the same quarter last year. We believe the company is progressing well towards the addition of 20 new sales territories in 2009 which we believe should begin to drive renewed top-line growth next year. We would note that our estimate for Q4 is an increase from our previous $470M/$0.35 estimate...Given our expectations of Teradata’s fairly constant cash gross margin, we believe the competitive environment with respect to Oracle (Nasdaq: ORCL) and Netezza (NYSE: NZ) (Hold-rated) remains unchanged. Additionally, with over 55% of its revenue coming from professional services and maintenance, the company has a high level of visibility."

To see all the upgrades/downgrades on shares of TDC, visit our Analyst Ratings page.


Analyst Positive On JP Morgan (JPM) Following Recent Correction Feb 10, 2010 10:44AM

Following a nearly 15% drop in JP Morgan's (NYSE: JPM) stock since 1/7, analysts at Deutsche Bank are making positive comments on the mega-bank. The firm said the drop is JPM's stock far exceeded the 5% drop in the KBW Bank Index (BKX) which they said likely relates to rotation into regional banks and regulatory concerns.

The firm thinks performance of JP Morgan is now poised to improve due to an attractive valuation, the company's upcoming 2/25 analyst day which should reinforce several positive themes, and more emphasis on JPM's strong capital/reserves and execution as macro uncertainties persist.

Deutsche Bank also thinks recently proposed regulatory reform will be less onerous than expected and may not even be implemented.

The firm argues that JP Morgan is attractively valued at just 1.4x year-end 2010E tangible book and 7.5x their normalized EPS est. of $5.13.

The firm reiterated their Buy rating and $47 price target on JPM.

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UBS Maintains a 'Neutral' on Charles River (CRL); Updates Estimates Feb 10, 2010 10:41AM

UBS maintains a 'Neutral' on Charles River (NYSE: CRL), raises price target from $35 to $38.

UBS analyst projects FY10 sales of $1,239M (+3% +1% organic, +1% F/X, +1% M&A) & EPS of $2.31 (was $2.44). For FY11, sees sales of $1,322M &.EPS of $2.70 (was $2.75).

To see all the upgrades/downgrades on shares of CRL, visit our Analyst Ratings page.


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