UPDATE: Canaccord Raises PT to $28 on Nuance Communications

A report from Canaccord Daily reiterates its Buy rating and raises its price target to $28 on Nuance Communications (NASDAQ: NUAN).

The report states, “After facing a few years of investor purgatory due to complaints of “roll up,” wide divergences of GAAP from cash flow, and periodic segment miscues, all has been forgiven as Nuance provided backbone speech technology to Apple. The reality is that while Apple won't make Nuance rich, the iPhone 4S has created a jump condition in terms of minimum functionality that other handset manufacturers must match, or risk being viewed as substandard.”

NUAN closed yesterday at $23.13.