UPDATE: JMP Securities Reiterates on NetSuite Following Non-GAAP EPS Report

In a report published Tuesday, JMP Securities analyst Patrick Walravens reiterated a Market Outperform rating on

, but lowered the price target from $121.00 to $101.00. In the report, JMP Securities noted, “We maintain our Market Outperform rating on NetSuite but decrease our price target from $121 to $101 after the company reported non-GAAP EPS of $0.06 (consensus $0.02) on revenue growth of 34% (consensus 32%) – putting the stock up 2% in aftermarket trading. Revenue guidance was solid at $130M - $132M for Q2 (consensus $131M) and $540M - $545M (consensus $540M) for 2014. We decrease our 2014 non-GAAP EPS estimate from $0.30 to $0.28 (consensus $0.28) on revenue growth of 32% and maintain our 2015 non-GAAP EPS estimate of $0.55 (consensus $0.47) on revenue growth of 30% and maintain our 2016 non-GAAP EPS estimate of $0.71 on revenue growth of 30%. "We decrease our price target from $121 to $101, representing an enterprise value equal to 34x our 2016 free cash flow estimate, applied to our new free cash flow estimate of $223M (previous $267M) and also reflecting the decrease in the comparable company valuations when considered on an EV/2015 revenue basis.” NetSuite closed on Monday at $73.59.