UPDATE: Imperial Capital Reiterates In-Line Rating, Raises PT on Proofpoint on 4Q14 Earnings Preview

In a report published Thursday, Imperial Capital analyst Michael Kim reiterated an In-Line rating on

, and raised the price target from $41.00 to $48.00. In the report, Imperial Capital noted, “We are maintaining our In-Line rating and raising our one-year price target to $48 from $41 based on comparative valuation. Our price target is about 3% below the recent share price. We expect 4Q14 results will be consistent with our estimates and consensus, with potential upside given management's track record of conservative revenue guidance. We anticipate growth will be driven by strong expansion of Targeted Attack Protection (TAP), buoyed by cross-selling/upselling/new customers, and enterprise migrations to Office 365 displacing on-premise solutions. While we anticipate PFPT will achieve continued growth based on its proven technology, compelling cloud platform, and international penetration, we think the stock substantially reflects investor expectations and offers balanced risk/reward at recent valuation multiples.” Proofpoint closed on Wednesday at $49.00.