UPDATE: J.P. Morgan Downgrades Qualys to Overweight, Raises PT as Acceleration is Priced In

In a report published Friday, J.P. Morgan analyst Sterling Auty downgraded the rating on Qualys QLYS from Neutral to Overweight, but raised the price target from $20.00 to $24.00. In the report, J.P. Morgan noted, “The stock is up roughly 55% since Fall 2012 as compared to 22% for the S&P 500. The stock has gone through our $20 price target and we are increasing that price target to $24, but that only implies about 5% upside,not enough to continue with the Overweight rating, in our opinion. We believe these valuation levels price in expectations for further acceleration in subscription value related to newer products.” Qualys closed on Thursday at $22.84.