NetScout (NTCT) PT Lifted to $48 at Needham & Company

Needham & Company analyst Scott Zeller reiterated a Buy rating and boosted his price target on NetScout (NASDAQ: NTCT) to $48.00 (from $40.00) on the NTCT and Danaher Communications combination.

Zeller commented, "We have taken a fresh look at our proforma NTCT + Danaher Communications (DHR) combined model of operations, post-earnings, and refined our assumptions. The NTCT + DHR deal was announced in October 2014 with a deal value of $2.6B, and is scheduled to close during the summer of CY15. Our “core” standalone NTCT estimates remain unchanged, yet our belief in EPS “power” for the combined company remains strong, and our revenue assumptions have improved; we now see a potential EPS for FY16 of $2.20-2.30, vs. our official standalone NTCT EPS of $2.12 in FY16. Reiterate BUY, no change to estimates – increasing price target to $48 from $40 on potential earnings power from acquisition. Our $48 target is 23x our $2.12 FY16E standalone NTCT EPS"

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

Shares of NetScout closed at $42.34 yesterday.

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