Amdocs Limited (DOX); Back On Track But Concerns Remain About Long-Term Growth
February 22, 2010 8:24 PM
Analysts Jason Kupferberg and Steve Fordham at UBS (NYSE: UBS) have released an update on Amdocs Limited (NYSE: DOX). UBS recently met with the management at Amdocs Limited.
According to analysts, the key take away from the meeting was the question mark about the longer-term growth at the company. Although the recent recovery in top-line growth is encouraging, analysts at UBS continue to remain skeptical about the possibility of sustaining an 8%-10% growth.
According to analysts, the company has high quality products, technology, and domain expertise; however, it faces highly capable competitors.
Analysts do not expect the company to initiate a share buyback program, even though the company has no debt and $6.25 per share in cash on their balance sheet.
Analysts at UBS continue to rate Amdocs Limited as a Neutral, with a 12-month price target of $29.
