Ultimate Software Group Rating Increased to Overweight at Evercore Partners (ULTI)
Ultimate Software Group (NASDAQ:ULTI) was upgraded by equities researchers at Evercore Partners from an “equal weight” rating to an “overweight” rating in a research report issued on Wednesday, TheFlyOnTheWall.com reports. The firm currently has a $165.00 price target on the stock. Evercore Partners’ price objective would indicate a potential upside of 19.73% from the stock’s previous close.
The analysts wrote, “As part of our assumption of coverage we are upgrading shares of Ultimate Software (ULTI) to Overweight with a $165 price target (~20% upside from current levels). Our price target implies that shares can trade to 7.6x EV/CY15 Sales, which is a slight discount to faster-growth SaaS peers like WDAY, N and NOW, but does provide some multiple benefit for ULTI’s high customer retention rates and above-market profitability. When looking out over the next 12-18 months, we believe there is room for numbers to push higher and our estimates could prove to be conservative (as we run through on pages 4-6). In our view, ULTI represents a unique SMID-cap asset among SaaS peers given its blend of +20% recurring revenue growth and profitability.”
Shares of Ultimate Software Group (NASDAQ:ULTI) traded up 1.79% during mid-day trading on Wednesday, hitting $140.27. The stock had a trading volume of 58,258 shares. Ultimate Software Group has a one year low of $85.08 and a one year high of $151.08. The stock has a 50-day moving average of $144.4 and a 200-day moving average of $124.6. The company has a market cap of $3.904 billion and a price-to-earnings ratio of 191.94.
Ultimate Software Group (NASDAQ:ULTI) last released its earnings data on Tuesday, July 30th. The company reported $0.34 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.30 by $0.04. The company had revenue of $97.50 million for the quarter, compared to the consensus estimate of $97.19 million. During the same quarter last year, the company posted $0.21 earnings per share. Ultimate Software Group’s revenue was up 23.2% compared to the same quarter last year. Analysts expect that Ultimate Software Group will post $1.42 EPS for the current fiscal year.
ULTI has been the subject of a number of other recent research reports. Analysts at Thomson Reuters/Verus upgraded shares of Ultimate Software Group from a “hold” rating to a “buy” rating in a research note to investors on Monday. Separately, analysts at Wunderlich raised their price target on shares of Ultimate Software Group from $150.00 to $175.00 in a research note to investors on Tuesday, October 1st. They now have a “buy” rating on the stock. Finally, analysts at Barrington Research upgraded shares of Ultimate Software Group from a “market perform” rating to an “outperform” rating in a research note to investors on Tuesday, September 10th. They now have a $170.00 price target on the stock. Four investment analysts have rated the stock with a hold rating and ten have issued a buy rating to the company’s stock. Ultimate Software Group presently has an average rating of “Buy” and an average target price of $140.93.
The Ultimate Software Group, Inc (NASDAQ:ULTI) is a provider of cloud-based human capital management (HCM).
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