Piper Jaffray Reiterates Overweight on Fusion-IO Following IBM's Announcement of ioScale PCIe Cards
In a report published Tuesday, Piper Jaffray analyst Andrew J. Nowinski reiterated an Overweight rating and $17.00 price target on Fusion-IO (NYSE: FIO).
In the report, Piper Jaffray noted, “IBM announced it will offer its own version of Fusion-io's ioScale PCIe cards later in October; IBM is the first OEM partner to adopt the ioScale cards. We believe the announcement aligns with Fusion-io's renewed strategic focus on OEMs under the leadership of CEO Shane Robison. Moreover, the announcement supports a key tenet of our recent upgrade, namely that Fusion-io's partnership with IBM is expanding and that Fusion-io cards will likely be the ‘go to' PCIe solution at IBM going forward. We continue to rate shares of FIO at Overweight and reiterate our $17 price target.”
Fusion-IO closed on Monday at $13.39.
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