Oppenheimer Downgrading Vistaprint N.V.
Oppenheimer & Co. is out with a research report and is downgrading Vistaprint N.V. (NASDAQ: VPRT) to Perform and cutting the price target to $32 after earnings.
In a note to clients, Oppenheimer & Co. writes, "Following VPRT's announcement of dramatically higher internal investments and an expected 30% y/y decline in FY12 non-GAAP EPS, we're lowering our PT to $32 from $64 and downgrading the shares, trading at $30 after hours, to Perform from Outperform. While F4Q results (June) were nicely ahead of expectations, investors will focus on VPRT's "new" 5-year financial plan, which assumes EPS declines for several qtrs, and dramatically increasing in F13-F16. As a result, we believe investors will assume: 1) high-teens LT revenue growth vs. 20%+ guidance; 2) modest margin improvement; and 3) F16 non-GAAP EPS of $3-4, well below management's $5 target. Assuming a 10% discount to a normal S&P multiple, and a 10% discount rate, gives us our $32 target."
Shares of VPRT are down $14.52 in pre-market trading to $27.88.
