UPDATE: BofA Securities Downgrades Allot Communications (ALLT) to Underperform
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Get Alerts ALLT Hot Sheet
6 Buy, 7 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 11 | Down: 16 | New: 24
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BofA Securities analyst Tal Liani downgraded Allot Communications (NASDAQ: ALLT) from Neutral to Underperform with a price target of $10.00.
The analyst comments "ALLT reported 4Q21 revenues/EPS of $41mn/-6c in-line with Street expectations. Revenues were up +4.9% YoY, with ARR up +39% YoY. Gross margin remained unchanged at 70.1% while operating margin declined 620bps YoY to -5.0%, due to increased OpEx costs. The company provided FY22 revenue/operating income/FCF guidance of $150mn/($23)mn/($36.5)mn, stating that 1H22 growth is likely to be flat, recovering in 2H, coupled with a significant CapEx investment. We lower our EPS estimate for 2022/2023 accordingly, and downgrade to Underperform based on the short-midterm outlook. We reduce our PO from $14 to $10, based on 1.7x EV/Sales."
For an analyst ratings summary and ratings history on Allot Communications click here. For more ratings news on Allot Communications click here.
Shares of Allot Communications closed at $8.08 yesterday.
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