Lazard Raises PT on F5 (FFIV) to $100; Strong Position in ACE Refresh Cycle
Lazard Capital is maintaining a Buy rating on F5 Networks (Nasdaq: FFIV), but moving its price target from $90 to $100 following strong third-quarter 2013 results issued late Wednesday.
Analyst Ryan Hutchinson noted that F5 topped views amid a relatively low bar to surmount. He commented,
F5 management noted robust demand in the low- to medium-range products, such as 2K and 4K and, although new to market, Hutchinson thinks initial interest has been positive on higher-end 5K to 7K platforms. The company also had a record quarterly across its entire security portfolio and is also beginning to offer the products in SP environments. Finally, the company also has a strong pipeline and win rate in the ACE segment due to the ongoing replacement cycle.
Hutchinson moves Q4 revs and EPS from $373 million and $1.17 to $383 million and $1.18, respectively. FY13 EPS and revs go from $1.449 billion and $4.47 up to $1.469 billion and $4.51.
For an analyst ratings summary and ratings history on F5 Networks click here. For more ratings news on F5 Networks click here.
Shares of F5 Networks closed at $81.42 yesterday, with a 52 week range of $67.53-$111.58.
Analyst Ryan Hutchinson noted that F5 topped views amid a relatively low bar to surmount. He commented,
Similar to several peers that have reported their June quarters, NA demand trends in both SP and enterprise continue to gain momentum, while other regions remain stuck in neutral. Beyond modest macro improvement, F5 is starting to benefit from multiple tailwinds (security, core ADC product cycle, Cisco ACE replacement opportunity) that should drive product revenue acceleration over the next several quarters, especially as compares begin to ease in C2H13.
F5 management noted robust demand in the low- to medium-range products, such as 2K and 4K and, although new to market, Hutchinson thinks initial interest has been positive on higher-end 5K to 7K platforms. The company also had a record quarterly across its entire security portfolio and is also beginning to offer the products in SP environments. Finally, the company also has a strong pipeline and win rate in the ACE segment due to the ongoing replacement cycle.
Hutchinson moves Q4 revs and EPS from $373 million and $1.17 to $383 million and $1.18, respectively. FY13 EPS and revs go from $1.449 billion and $4.47 up to $1.469 billion and $4.51.
For an analyst ratings summary and ratings history on F5 Networks click here. For more ratings news on F5 Networks click here.
Shares of F5 Networks closed at $81.42 yesterday, with a 52 week range of $67.53-$111.58.