UPDATE: Deutsche Bank Initiates ServiceNow with Buy, $34 PT

Deutsche Bank initiated coverage on ServiceNow

with a Buy rating and a price target of $34 a share. Deutsche Bank noted, "The combination of ITSM and PaaS offers a significant market opportunity for Servicenow and its product leadership and subscription model will continue to drive its momentum. … Our $34 price target is based on a CY14 uFCF/share estimate of $0.56, an EV/uFCF/G multiple of 1.2x, and a five-year growth rate, net of dilution, of 48% off a relatively small base." ServiceNow closed at $24.35 on Monday.