Coupa Software (COUP) Momentum Continues, Goldman Sachs Reiterates Buy

Goldman Sachs analyst Christopher Merwin reiterated a Buy rating and $413.00 price target on Coupa Software (NASDAQ: COUP) after the company finished FY21 on a high note with Q4 billings revenue and billings growth of 47%/49%, well ahead of GSe at 31%/25% respectively. The revenue beat included $22mn of contribution from the acquisition of Llamasoft while deferred revenue included $15mn of inorganic uplift, to arrive at organic billings in the low 30% range. FY22 revenue guidance of 25% was consistent with management’s typical starting guidance for the fiscal year and appears conservative when considering the organic recovery in demand and at least a $30-35mn contribution from Llamasoft.

The analyst stated "we believe the guidance is mostly de-risked. In the year ahead, we expect to see the benefit of cross-sell for Llamasoft and a scaling up of transaction-based revenue for Coupa Pay – both of which should help drive over-delivery throughout the year. We maintain our Buy-rating (on CL) on COUP shares with a $413 price target (unchanged from prior)."

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

Shares of Coupa Software closed at $274.48 yesterday.

You May Also Be Interested In

• Northland Upgrades Evolution Petroleum (EPM) to Outperform 'on Pullback & Attractive Royalty Acquisition'
• Revolution (RVMD) PT Raised to $265 at UBS as Daraxonrasib Pricing Announced
• Affirm Holdings (AFRM) PT Raised to $100 at Needham