NetSuite (N) PT Lowered at Northland Capital Markets But Bullish Rating Reiterated Following Solid Q1

Northland Capital Markets analyst Scott Berg cut his price target on NetSuite (NYSE: N) to $100.00 (from $125.00) but maintained an Outperform rating following better than expected revenue, EPS, and billings growth in 1Q while benefiting from its market dominant position in Cloud-based ERP solutions.

Berg commented, "We believe the current SaaS ERP demand environment remains healthy and the 1Q large deal flow reflects a product segment and company likely to buck any whisper of slowing demand. We reiterate our OP rating as we expect sustained 30% plus billings growth but lower our PT relative to the recent multiple contraction in the SaaS space."

The firm bumped FY 2014 EPS from $0.24 to $0.26.

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

Shares of NetSuite closed at $73.59 yesterday.

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