Wave Of Storage Systems Interest Will Benefit FalconStor Software Virtualization Model

Morgan Keegan in a research report today believe's FalconStor Software (NASDAQ: FALC) will Outperform.

Morgan Keegan writes "We believe a forthcoming wave of storage systems will increasingly validate FalconStor's
storage virtualization model.In addition to this, we believe FalconStor has other technologies—deduplication, file system technology, and continuous data protection—that could be valuable additions to larger systems vendors.

While FalconStor's shares have had a nice run recently, we believe shares could see sustained momentum as sector M&A talks continue. For the moment, we are maintaining
our $4.40 price target (or a 2x EV/Sales multiple based on our estimates), but believe with market multiples moving higher that there could be significant upside to our price target.

FALC shares closed Monday at $3.88