Jefferies Upgrades Medidata Solutions (MDSO) to Buy, Sees Mid-Teen Application Services Growth

Jefferies upgraded Medidata Solutions (NASDAQ: MDSO) from Hold to Buy with a price target of $31 (up from $21.50).

The firm comments, "Following this week's travel with management, we have greater confidence in MDSO's ability to grow Application Services (AS) revenue in the mid-teens both this year and next. 2012 S&M and R&D spending increases will be offset by G&A leverage; R&D growth should taper in 2013, further fueling EPS. Our projected revenue growth makes current valuation attractive, especially for a pure-SaaS company."

Jefferies raised FY13 EPS from $1.42 to $1.44.

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

Shares of Medidata Solutions closed at $24.90 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Travel Food Services (TRAVELFO:IN) PT Raised to INR1,600 at ICICI Securities
• Jefferies Upgrades Brightstar Lottery (BRSL) to Buy
• Tata Motors Passenger Vehicles (TMPV:IN) PT Raised to INR375 at ICICI Securities