Morgan Stanley analyst Hamza Fodderwala maintains CrowdStrike Holdings with a Overweight and raises the price target from $304 to $372.
Morgan Stanley analyst Hamza Fodderwala maintains CrowdStrike Holdings with a Overweight Read Post »
By Denny Jacob Adobe is scheduled to report its first-quarter results Thursday after the market closes. Here’s what you need to know. NET INCOME: The software maker is expected to post $1.54 billion in net income, up from $1.25 billion a year earlier, according to FactSet. REVENUE: The San Jose, Calif.-based company is expected to post $5.14 billion in revenue for the quarter ended March 1, compared with $4.66 billion in the prior-year period, according to FactSet. Adobe previously forecast revenue between $5.1 billion and $5.15 billion. ADJUSTED EARNINGS: Stripping out one-time items, earnings are expected to come in at $4.38 a share, according to FactSet. The stock price declined about 6.8% during the quarter and recently traded at $580.39. WHAT TO WATCH — Look for fresh details from Adobe following its scrapped $20 billion bid for collaboration-software company Figma. News of the abandoned deal came a few days after
Adobe Expected to Post 1Q Revenue, Profit Increase — Earnings Preview Read Post »
CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: We lift our target by $20 to $216, utilizing a P/E of 21x our ’24 EPS view, near peers, but well above IBM’s three-year average (~14x) on growing interest in the company’s AI and hybrid cloud solutions and our view that investor sentiment is improving around the company following years of underperformance. We maintain our ’24 EPS view at $10.30 and raise our ’25 estimate by $0.12 to $11.02. IBM shares have experienced some multiple expansion in recent months. While we think shares will continue to justifiably trade below many higher-growth consulting peers given IBM’s high level of net debt ($43.1B exiting ’23, 86% of which is fixed with an average rate of 3%), we also believe the company still has some room to grow its multiple
CFRA Maintains Buy Rating On Shares Of International Business Machines Corp. Read Post »
Alphabet’s (GOOG, GOOGL) Waymo One said Wednesday it will start inviting members of its waitlist to access its fully autonomous ride-hailing service in Los Angeles on Thursday. The service will start in the Santa Monica to Downtown Los Angeles area, with the initial rides set to be free, the company said in a blog post, adding that it will transition to paid service in the coming weeks. The company said it ran rider-only testing in Austin, Texas, last week, and plans to offer the service in the city later this year. Shares of Alphabet rose about 1.7% in recent trading.
Alphabet’s Waymo One Set to Start Service in California, Texas Read Post »
B of A Securities analyst Vivek Arya maintains NVIDIA with a Buy and raises the price target from $925 to $1100.
B of A Securities analyst maintains NVIDIA with a Buy Read Post »
Oracle’s (ORCL) cloud growth metrics for fiscal Q3 are “solid,” with Oracle Cloud Infrastructure growing 49% in constant currency, BofA Securities said in a note Tuesday. BofA said the growth “stands out” to it, slowing down “slightly” from 50% in the previous quarter “on sustained demand and execution.” “It is encouraging that strength is coming from newer solutions such as OracleDB on Azure and the high performance Alloy offering,” the firm said. “This bodes well for future growth.” For fiscal Q4, the firm said that Oracle’s cloud growth outlook of 22% to 24% is “solid” even though it’s below the 24% to 25% expected by analysts. BofA maintained its neutral rating on Oracle stock and lifted the price objective to $144 from $122. Oracle shares jumped nearly 11% in recent trading.
Oracle’s Fiscal Q3 Cloud Growth Metrics ‘Solid,’ BofA Says Read Post »
Adobe Systems’ (ADBE) “underperformance” and adjusted AI expectations for fiscal year 2024 are likely to set the bar lower for Q1, Morgan Stanley said in a note emailed Tuesday. With Adobe shares experiencing a decline of around 10% in the last three months, lagging behind the median large-cap software stock by more than 15%, “investor expectations around Adobe’s Gen AI contribution near-term and competitive positioning long-term have been tempered,” Morgan Stanley said. The trajectory of Adobe’s digital media net new annualized recurring revenue for fiscal year 2024, the level of competition, and the potential of AI within Document Cloud are crucial factors that will likely influence the direction of Adobe shares moving forward, the note said. “Heading into Q1 earnings, we see a lower bar after recent underperformance and management walking down revenue contribution expectations for Gen AI and price increase benefits near-term, coupled with commentary on tough comps from
CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: We raise our target by $115 to $755, 25x our CY 2025 EPS view, near peers but above KLAC’s three-year average (~18x) on its favorable exposure to AI and early signs of improvement across the semiconductor industry. We maintain our FY 2024 EPS estimate at $23.30, raise FY 2025’s by $0.99 to $27.29, and lift FY 2026’s by $1.71 to $32.70, boosted by the introduction of High NA EUV systems in 2025 and 2026 to support the continued push toward more advanced nodes. AI applications are driving new node investments, benefiting KLAC across multiple product lines. In our view, the semi-cap equipment market is getting more expensive, and we expect price movement from here to be driven more by earnings than by further multiple expansion; however, we
CFRA Maintains Buy Recommendation On Shares Of Kla Corporation Read Post »
Apple continues to win market share of both units and revenue, says BofA – and the company even has an opportunity with buyers of used smartphones Apple Inc. likely saw declining iPhone unit shipments over the last three years, but a BofA Securities analyst sees some silver linings. The smartphone giant continues to win market share in terms of both industry revenue and units, in the view of BofA’s Wamsi Mohan. Additionally, Apple (AAPL) is having success in convincing people to pay for higher-priced iPhone models, a trend Mohan thinks could persist – and help to outweigh overall pressures in the company’s China business. “We continue to see Apple ship more high-value units over time and thereby continue to take revenue share,” Mohan wrote. The company commands almost the entire market of devices that sell for at least $1,000, he added. Used iPhones are becoming a greater portion of Apple’s
Apple’s iPhone Business Has Been Sluggish, but Here’s the Good News Read Post »
Piper Sandler analyst Brent Bracelin maintains Adobe (NASDAQ:ADBE) with a Overweight and maintains $705 price target.
Piper Sandler analyst maintains Adobe (NASDAQ:ADBE) with a Overweight Read Post »
Oracle (ORCL.US) growth in remaining performance obligations, or RPO, in its fiscal third quarter was “impressive,” though investors will likely be focused on the durability of that growth, Morgan Stanley said Tuesday. The software maker’s total RPO surged 29% to an all-time high of more than $80 billion in the quarter, driven by “large new cloud infrastructure contracts,” Chief Executive Safra Catz said late Monday. Adjusted earnings rose to $1.41 a share in the three months ended Feb. 29 from $1.22 a year earlier, higher than the Capital IQ-polled consensus of $1.38. Revenue grew 7% to $13.28 billion, but missed Wall Street’s $13.29 billion view. The third-quarter RPO represented a $15 billion sequential gain following a $500 million growth in the prior quarter, Morgan Stanley said in a note. “While undoubtedly an impressive RPO result for the quarter, the key question for investors likely turns to the durability of that
CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: We increase our 12-month target to $142 from $130, on a higher revised P/E of 21x our CY 25 EPS estimate of $6.75, above historical but below peers. We raise our FY 24 (May) EPS to $5.59 from $5.54 and keep FY 25 at $6.29. ORCL posts Feb-Q EPS of $1.41 vs. $1.22, beating the $1.38 consensus. Sales rose 7%, near expectations, led by 12% growth from cloud services and license support (75% of sales), which more than offset legacy declines. We positively view stabilization in cloud services growth (+25%) after recent deceleration, with Infrastructure-as-a-Service (IaaS) rising 49% and cloud applications (SaaS) up 14%. Despite ORCL’s leveraged financial position (net debt of $78B) and need to boost capex ($10B seen in FY 25 from $7.5B projected in
CFRA Maintains Hold Recommendation On Shares Of Oracle Corporation Read Post »