UPDATE: Stifel Nicolaus Lowers PT on Microsoft to $32
Stifel Nicolaus is out with its report today on Microsoft (NASDAQ: MSFT) lowering its PT to $32 from $37.
In its report, Stifel Nicolaus writes, "We have lowered our price target to reflect the impact we think the slower economic recovery will have on Microsoft's business. Our revised 12-month target price is $32 and is based on - 1) applying a 3.3x EV/revenue to our revised FY12 revenue estimates, a slight premium to the peer group at 2.7x; 2) applying a 11.0x to our FY12 EPS estimate, a slight discount to the peer group at 11.4x; and 3) applying a 8.0x to our FY12 FCF/share estimate, a discount to the peer group at 18.1x."
Stifel Nicolaus maintains Buy on MSFT.
At the time of posting, shares of MSFT were trading pre-market at $24.23, up 1.04% from Monday's close.
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Tags: Stifel Nicolaus