UPDATE: Oppenheimer Starts Box, Inc. (BOX) at Perform

Oppenheimer initiated coverage on Box, Inc. (NYSE: BOX) with a Perform rating. Analyst Ittai Kidron sees the company as an attractive M&A target, but he noted balanced risk/reward given tough competition and valuation.

"Box is a provider of cloudbased enterprise file sync-and-share (FSS), content management, and collaboration services. The company has grown quickly, benefiting from favorable trends such as workforce mobility, BYOD, and the adoption of cloud-based storage. With a large and growing addressable market and an effective land-and-expand business model that’s driving strong customer retention and upsell opportunities, we see more growth ahead (30.1% FY15-18 CAGR). We also believe Box could be an attractive M&A target. What keeps us on the sidelines is a balanced risk/reward view considering tough competition and a valuation that leaves modest room for further appreciation," said Kidron.

For an analyst ratings summary and ratings history on Box, Inc. click here. For more ratings news on Box, Inc. click here.

Shares of Box, Inc. closed at $18.56 yesterday.

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