UPDATE: Credit Suisse Initiates Outperform, PT of $40 on Splunk; Big Fast Data
Credit Suisse initiates its coverage on Splunk (NASDAQ: SPLK) as the company is in the middle of the big data growth in the next decade. Price target is set at $40.
Credit Suisse notes, "Although IDC estimates that the amount of data managed by enterprises will grow by a factor of 50 over the next decade,1 95% of this data is multistructured in nature and is increasing at an exponential rate that far outpaces the growth of structured data.2 These large, untapped datasets define a new category of information known as Big Data.3. …We believe that Splunk's disruptive technology, the massive market opportunity, and the early-stage adoption of Big Data technologies could produce significant, sustained revenue growth."
SPLK closed at $31.35 on Friday.
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