Needham Partner Highlights Near Doubling of Splunk (SPLK) Activity Driven by Security Projects

Needham & Company analyst Jack Andrews reiterated a Buy rating and $265.00 price target on Splunk (NASDAQ: SPLK) after hosting a deep-dive discussion with a Systems Engineer at a Splunk Elite Partner who conducts consulting engagements representing ~$100 million of SPLK product and service revenue.

The analyst stated "Thus far in FY22, Mr. Klein is now seeing a dramatic increase in the pipeline for his Splunk practice and expects a near doubling of consulting business. Demand is predominantly driven by security use cases, which have grown due to recent cybersecurity attacks that include the Colonial Pipeline and SolarWinds incidents. Moreover, Mr. Klein is seeing a return for larger enterprise license agreements and positive activity for deals ranging from $120,000 up to a few million dollars. In particular, Phantom for Security, Automation, Orchestration, and Remediation (SOAR), which saw some challenges last year, is seeing a strong rebound in demand driven by favorable product market-fit for automating the growing challenges of IT operations."

For an analyst ratings summary and ratings history on Splunk click here. For more ratings news on Splunk click here.

Shares of Splunk closed at $119.69 yesterday.

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