Needham & Company Maintains a 'Buy' on Riverbed Technology (RVBD); Cutting Estimates and Price Target
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Price: $20.99 --0%
Rating Summary:
5 Buy, 27 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
5 Buy, 27 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Needham & Company maintains a 'Buy' on Riverbed Technology (NASDAQ: RVBD) price target lowered from $36 to $28.
Analyst, Scott Zeller, said, "The Riverbed MarQ results were disappointing, as revenue missed and EPS was in line. Investors have been well aware since January of the refresh to the core Steelhead product at RVBD, expected to cause delays and buyer hesitation. While a soft MarQ was likely anticipated, we believe investors were looking for a slight “blip” in buyer hesitation, and a snap-back in guidance, starting in JuneQ. Unfortunately, last night’s guidance lowered the bar for revenues from 17-20%, down to 15% for CY12, and JuneQ guidance was below consensus, surprising investors after a big guide down in January."
Zeller cuts estimates as follows: $193-197m and $0.21-0.22 EPS for JuneQ are below $202m and $0.24 consensus. CY12 goes from +17-20% rev gwth, down to +15%. Our CY12 goes from $869m and $1.01 down to $842m and $0.93 EPS; CY13 goes from $1069m and $1.33 down to $1019m and $1.21 EPS.
For an analyst ratings summary and ratings history on Riverbed Technology click here. For more ratings news on Riverbed Technology click here.
Shares of Riverbed Technology closed at $27.86 yesterday.
Analyst, Scott Zeller, said, "The Riverbed MarQ results were disappointing, as revenue missed and EPS was in line. Investors have been well aware since January of the refresh to the core Steelhead product at RVBD, expected to cause delays and buyer hesitation. While a soft MarQ was likely anticipated, we believe investors were looking for a slight “blip” in buyer hesitation, and a snap-back in guidance, starting in JuneQ. Unfortunately, last night’s guidance lowered the bar for revenues from 17-20%, down to 15% for CY12, and JuneQ guidance was below consensus, surprising investors after a big guide down in January."
Zeller cuts estimates as follows: $193-197m and $0.21-0.22 EPS for JuneQ are below $202m and $0.24 consensus. CY12 goes from +17-20% rev gwth, down to +15%. Our CY12 goes from $869m and $1.01 down to $842m and $0.93 EPS; CY13 goes from $1069m and $1.33 down to $1019m and $1.21 EPS.
For an analyst ratings summary and ratings history on Riverbed Technology click here. For more ratings news on Riverbed Technology click here.
Shares of Riverbed Technology closed at $27.86 yesterday.
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