Oppenheimer Reiterates Outperform, $35 Target On FireEye, Sees Positive Momentum As Intact

Oppenheimer’s Shaul Eyal expects FireEye Inc FEYE to report robust results when it announces its quarterly results on May 5.

Eyal reiterated an Outperform rating on the company, with a price target of $35.

1Q Expectations

The analyst mentioned that recent channel checks of 20 VARs indicated that FireEye’s results would at least be in-line with expectations, while there has been continued FaaS traction, with a billing run rate of more than $100 million.

Eyas stated that robust security spending during 1Q16 and improved execution trends in EMEA and APAC also bode well for the company, while “acquisitions as well as recent partnerships expand the product reach and versatility.”

The analyst pointed out that the risk/reward on the stock was balances, “clearly shifting toward reward.”

Responding To Need

Eyas believes that FireEye has been promptly responding to the changing industry requirements, while developing a product line that “rides the wave of security efficacy and automation.”

With a robust end-to-end solutions platform that serves a growing TAM, the company is expected to continue to improve its focus on increasing profitability.