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Several investment firms have updated their stock ratings and price targets on shares of Splunk (NASDAQ: SPLK) in the last week:

  • Splunk had its price target lowered by analysts at Goldman Sachs from $92.00 to $55.00.
  • Splunk had its “buy” rating reaffirmed by analysts at Cantor Fitzgerald.
  • Splunk was upgraded by analysts at Credit Agricole to an “outperform” rating. They now have a $66.00 price target on the stock, down previously from $110.00. They wrote, “We maintain our Market Outperform rating on Splunk but decrease our price target from $110 to $66 ahead of the company’s Q1 earnings on May 29. We expect another strong quarter from Splunk and raise our Q1 revenue estimate from $82 million, up 43% yoy, to $83 million, up 45% yoy. “In this note we provide an update to the customer spending survey we conducted in February, discuss some takeaways from our reseller checks and Cisco Live (which we attended yesterday), and discuss our recent due diligence with two private company competitors to Splunk. We maintain our FY15 non-GAAP EPS estimate of $0.02 versus consensus of breakeven, maintain our FY16 (CY15) non-GAAP EPS estimate of $0.27 versus consensus of $0.14, and maintain our FY17 (CY16) non-GAAP EPS estimate of $0.52 versus consensus of $0.36. “Our new $66 price target is based on an EV/2016 revenue multiple of 8.6x (versus our prior 15x multiple), a 20% premium to the peer group median, which we believe is deserved based upon Splunk’s trailing 12-month revenue growth of 52% and its leadership position. Our target multiple decreases as multiples of other stocks in Splunk’s high-growth peer group have declined significantly.”
  • Splunk had its price target lowered by analysts at Barclays from $78.00 to $51.00.
  • Splunk had its price target lowered by analysts at Wedbush from $110.00 to $67.00. They now have an “outperform” rating on the stock.

Shares of Splunk Inc (NASDAQ:SPLK) opened at 45.75 on Friday. Splunk Inc has a 1-year low of $41.07 and a 1-year high of $106.15. The stock has a 50-day moving average of $54.76 and a 200-day moving average of $70.49. The company’s market cap is $5.394 billion.

Splunk Inc (NASDAQ:SPLK) provides a software platform.

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