UPDATE: Wedbush Reiterates Outperform Rating, Lowers PT on Radware
In a report published Wednesday, Wedbush Securities reiterated its Outperform rating on Radware (NASDAQ: RDWR), but lowered its price target from $42.00 to $38.00, related to the recently announced partnership between Juniper Networks (NYSE: JNPR) and Riverbed Technology (NASDAQ: RVBD).
Wedbush noted, “It is unclear why Juniper chose to use a second vendor for an ADC, especially given an existing relationship with Radware. Juniper denied that there was any change in its relationship with Radware and indicated that their product would be used to focus on the carrier market while the Riverbed product would eventually help penetrate the enterprise and data center. Given Juniper has no ADC product at the moment other than the Radware solution, we think there is little risk to Radware near term. However, Juniper appears more committed to Riverbed with a licensing deal and R&D which will go into the development of hardware. Once a product is developed, we think there is risk to the Radware OEM, as Juniper may choose to utilize an internally developed product.”
Radware closed on Tuesday at $36.91.
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