UPDATE: Benchmark Company Reiterates Buy Rating, Raises PT on JDA Software Group

In a report published Monday, Benchmark Company reiterated its Buy rating on JDA Software Group

, and raised its price target to $36.00. Benchmark Company noted, “We expect management to fill in more details around its recently announced strategy to reposition JDAS from a vendor of traditional SCP applications to a provider of cloud-based planning and optimization solutions. Former comments from management suggest that it does not plan to create a ‘pure' single instance, multi-tenant cloud SCP solution. Instead, it's pursuing a hybrid-cloud approach by offering existing applications as an extension of JDAS's managed services through a hosted offering. With respect to the revenue model, the Company also plans to continue offering conventional upfront licenses along with a separate recurring revenue stream for cloud support and services. While the positioning appears reasonable, we believe management must show details of how it gets from its current SCP product suite to a cloud future, so that investors can gauge exactly how much work is needed before the transformation contributes upside to results.” JDA Software Group closed on Friday at $31.49.