Stifel Nicolaus Reiterates Hold on Websense

Stifel Nicolaus maintains its Hold rating on Websense, Inc.

despite cheap valuation, pending on company's demonstrated ability to improve growth needs demonstration. After a meeting with company management, Stifel Nicolaus noted, “Message around top line trends and the potential for growth acceleration remain consistent. As the billings mix continues to shift towards higher priced TRITON-based content security products and away from more commoditized Web filtering, the company expects billings growth to accelerate. The company believes it has the potential to drive 30%+ growth in TRITON billings (accounted for 54% of billings in 3Q) while its filtering business (46% of 3Q billings) will likely continue to decline in the 25% area.” WBSN closed at $17.84 per share on Friday.