UPDATE: Benchmark Lowers PT on E2open on Missed Consensus Estimates

In a report published Wednesday, Benchmark Company analyst Mark W. Schappel reiterated a Buy rating on E2open

, but lowered the price target from $25.00 to $18.00. In the report, Schappel noted, “Last night, EOPN missed consensus estimates for both total revenue and EPS, and lowered growth expectations for fiscal Q1 and FY14. The good news is that the core (i.e., subscription) business came in largely as planned and the shortfall and lowered outlook were focused in the company's consulting practice where lower value implementation services are being moved to partners. While estimates are certain to come down meaningfully and we wouldn't be surprised to see a downgrade or two from our peers, we think the stock is likely to trade all the way down to 3.6x-3.9x EV/2014E Revenue based on after-hours trading, which was down about 30%.” E2open closed on Tuesday at $18.57.