Needham & Company reiterated a Buy rating on Sapiens International Corp. NV (NASDAQ: SPNS), and raised the price target to $14.00 (from $11.00), following 2Q results. SPNS reported 2Q revenue of $43.4MM, up 12.4% Y/Y, above consensus at $43.2MM. SPNS posted EPS of $0.11, $0.02 above consensus.

Analyst Mayank Tandon commented, "Sapiens delivered upside 2Q results despite facing currency headwinds, showing solid revenue growth and a strong margin performance. Management raised the revenue guidance range for FY15 with the revised guidance representing 20% Y/Y growth on a constant currency basis and also raised the operating margin guidance to reflect operating efficiencies. Management announced the acquisition of Insseco, a software provider for the insurance market based in Poland. The acquisition opens up a new market for SPNS and is anticipated to be accretive starting in 3Q. At 2.5x our EV/FY16 revenue estimate, we believe the shares remain undervalued for a 15-20% organic revenue grower with potential to deliver sustained margin expansion. We maintain our BUY rating and increase our price target to $14."

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Shares of Sapiens International Corp. NV closed at $11.87 yesterday.