UPDATE: Jefferies Increases PT to $28 on Allot Communications; Q1 Beat
Jefferies increases its price target from $25 to $28 on Hold-rated Allot Communications (NASDAQ: ALLT) following stronger-than-expected Q1 results.
Jefferies comments, "Robust Q1 revenues of +10% Q/Q dramatically outperformed expectations (St/JEF -3%), typical telco equipment seasonality, and the recent weakness seen by most telco equipment companies. This demonstrates the continued secular drivers behind deep packet inspection equipment and related value-added services like video optimization; however, we still see the valuation as full as our $28 target (from $25) represents 42x 2012 EPS."
ALLT closed at $26.30 on Tuesday.
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.