UPDATE: Citi Raises Price Target on Taleo to $50

According to Citi, Taleo (NASDAQ: TLEO) price target is raised to $50.

Citi said that it is raising its target to $50 based on 1/3 weighting of our prior $34 target (DCF-based) and 2/3 based on $58, which is the high-end of ORCL's historical EV/recurring revenue multiple of 9x (RNOW and PFWD were meaningfully above this). “Oracle has a history of buying revenue critical mass and thus we think TLEO looks a good fit.”

Taleo closed yesterday at $39.50.