Auriga Reiterates a 'Buy' on Medidata Solutions (MDSO); A Big Beat, Full Year on Track
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Price: $92.22 --0%
Rating Summary:
5 Buy, 11 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 4 | Down: 8 | New: 14
Rating Summary:
5 Buy, 11 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 4 | Down: 8 | New: 14
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Auriga reiterates a 'Buy' pn Medidata Solutions (NASDAQ: MDSO) price target of $33.00.
Auriga analyst says, "The quarter included $3.5 million of renewal business that was recognized sooner than expected. Adjusting for this, results still beat consensus and our estimates. We note that backlog coverage has improved as well, providing about 80% visibility into the back half. MDSO is coming off its strongest Q2 ever, its competitive position has never been greater, and we find the stock's depressed valuation tough to ignore at 13x our FY12 EPS estimate. Our price target reflects a double from current levels."
"MDSO will report a full effective tax rate of 35% next year, compared to our blended rate previously. As such, our EPS estimate moves to $1.32 from $1.45. We are also reducing our FY12 revenue estimate by $2MM to $209 million which reflects the acceleration of the aforementioned renewal revenue. For the current year, we are increasing our EPS and revenue estimates to $1.52 on $187 million from $1.44 on $185 million, reflecting also the incremental renewal revenue pulled from FY12."
For more ratings news on Medidata Solutions click here and for the rating history of Medidata Solutions click here.
Shares of Medidata Solutions closed at $15.96 yesterday.
Auriga analyst says, "The quarter included $3.5 million of renewal business that was recognized sooner than expected. Adjusting for this, results still beat consensus and our estimates. We note that backlog coverage has improved as well, providing about 80% visibility into the back half. MDSO is coming off its strongest Q2 ever, its competitive position has never been greater, and we find the stock's depressed valuation tough to ignore at 13x our FY12 EPS estimate. Our price target reflects a double from current levels."
"MDSO will report a full effective tax rate of 35% next year, compared to our blended rate previously. As such, our EPS estimate moves to $1.32 from $1.45. We are also reducing our FY12 revenue estimate by $2MM to $209 million which reflects the acceleration of the aforementioned renewal revenue. For the current year, we are increasing our EPS and revenue estimates to $1.52 on $187 million from $1.44 on $185 million, reflecting also the incremental renewal revenue pulled from FY12."
For more ratings news on Medidata Solutions click here and for the rating history of Medidata Solutions click here.
Shares of Medidata Solutions closed at $15.96 yesterday.
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