logo
  Join        Login             Stock Quote

Tibco Software (TIBX) Initiated As 'Outperform' By FBN Securities; PT $35

 September 27, 2012 11:21 AM
 


(By Balachander) Tibco Software Inc. (NASDAQ: TIBX) shares were initiated with an "Outperform" rating and price target of $35 by FBN Securities analyst Shebly Seyrafi.

The analyst thinks that shares of TIBCO are particularly attractive.

Last quarter, it had 30 percent-plus license bookings growth, and Seyrafi thinks that in FY 2013 license growth will be over 20 percent, roughly double that of services growth, and margins will improve accordingly.

The analyst said TIBX is a leading player in middleware (vs. IBM) and is growing its analytics segment (Spotfire) quite well.

[Related -Futures Point To Higher Open; Oracle Corporation (ORCL) Tumbles]

Last quarter's strong growth in Spotfire, and large (>$500M) pipeline were quite impressive and more than countered concerns about slowing SOA and BPM growth, Seyrafi said.

Seyrafi models strong license revenue acceleration in FY 2013. Channel checks indicate that Spotfire (20 percent of revenue) is very strong in analytics and is more enterprise-ready than competing solutions such as those from QLIK and Tableau.

"They indicate that about five months ago, TIBX began more aggressive co-marketing efforts in the channel, and this is now starting to resonate," the analyst wrote. 

Seyrafi said TIBX is an attractive target, management is confident about its business, and it is executing well. Concerns include relatively high exposure to the financials segment (23 percent of revenue) and Europe (32 percent of revenue), possible near-term disruption from the recent dismissal of TIBX's head of the Americas, and relatively high deal ASPs ($676K on deals > $100K).

[Related -Tibco Software Inc. (TIBX) Buys Real-Time Analytics Firm StreamBase Systems]

Shares gained 1.71 percent to trade at $29.82 on Thursday. The stock has been trading in the 52-week range of $20.04 to $34.67.

iOnTheMarket Premium
Advertisement

Advertisement


Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageWill The Real U.S. Market Please Reveal Itself?

Is it the small stock Russell 2000, in a pattern of rally attempts failing at lower highs since its March read on...

article imageTime To Chase Bill Gross?

Jason Zweig at the Wall Street Journal had a very good piece on whether to follow Bill Gross as he goes read on...

article imageA Bullish Sign For Uranium Could Send This Stock Soaring

On March 11, 2011, a massive 9.0-magnitude earthquake erupted about 45 miles east of the Japanese coast. read on...

article imageBanks' LCR-based Demand For Treasuries Moderates

One of the factors contributing to treasury market's strong performance this year has been the Liquidity read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.