UPDATE: Goldman Sachs Downgrades NetSuite to Neutral on Valuation
Goldman Sachs downgraded NetSuite (NYSE: N) from Conviction Buy to Neutral and raised the price target from $71.00 to $75.00.
Goldman Sachs noted, "We downgrade shares of NetSuite to Neutral from Buy and remove it from the Americas Conviction List, as shares are approaching our $75, 12-month price target and now trade at 12x 2013E EV/sales, which we consider to be appropriate. … While we believe 4Q billings will come in ahead of consensus expectations and meet our 38% growth target and are raising our 12-month price target to $75 from $71 given revised longer-term growth expectations, we are taking NetSuite off the Conviction and Buy Lists given the lower upside (roughly 12%) to our price target relative to other names under coverage."
NetSuite closed at $67.72 on Thursday.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.