UPDATE: McAdams Wright Ragen Lowers PT on F5 Networks on Q2 Miss

In a report published Friday, McAdams Wright Ragen analyst Sid Parakh reiterated a Buy rating on F5 Networks

, but lowered the price target from $110.00 to $100.00. In the report, Parakh noted, “Preliminary Q2 results fell well short of our estimates and company guidance―revenue of $350.2 million (vs. our $376.5 million and guidance of $370–$380 million) and non-GAAP EPS of $1.06–$1.07 (vs. our $1.24 and guidance of $1.21–$1.24). Product revenues declined 9.8% year over year to $185.1 million (us at $207.7 million) while Service revenues grew 22.8% y-y to $165.1 million. While challenging market conditions in Europe also contributed to the Q2 shortfall, weakness in North America (NA) was the primary driver. NA telecom orders declined sharply due to tighter capital budgets and recent sequestration hurt U.S. Federal agency budgets. While customer actions were obvious, full clarity on underlying causes is yet to be achieved.” F5 Networks closed on Thursday at $90.42.