UPDATE: Goldman Sachs Reiterates Sell Rating, Raises PT on Adobe Systems
In a report published Friday, Goldman Sachs Group reiterated its Sell rating on Adobe Systems (NASDAQ: ADBE), and raised its price target from $24.00 to $27.00.
Goldman Sachs noted, “Given we expect management to use promotion in the near-term to build subscription revenue, we estimate that it will take until FY16 before non-GAAP EPS in the future period will be on par with the $2.36 registered in FY12. We are raising our 12-month price target to $27 from $24 (DCF, EV/Sales and P/E based) as we move to normalized sales and non-GAAP EPS (FY16 discounted back at Adobe's WACC) given the outsized impact the shift to subscription revenue has on sales and earnings.”
Adobe Systems closed on Thursday at $35.53.
Latest Ratings for ADBE
|Aug 2015||RBC Capital||Upgrades||Sector Perform||Outperform|
© 2015 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.