FX Movements Have Limited Impact On CTXS

Analysts at JP Morgan reiterate their "neutral" rating on Citrix Systems Inc CTXS. The target price for CTXS is set to $40. JP Morgan believes that the “impact of FX movements on the company is minimal given that most of its international contracts are denominated in U.S. dollars.” “Moreover, the company enters into foreign exchange forward contracts to hedge its exposure to FX fluctuations in operating expenses and overseas assets and liabilities. However, investors should realize that a strengthening dollar makes Citrix products more expensive in geographies that are not dollar denominated, assuming no price changes. This can be offset by greater discounts, which also results in a negative effect to revenue,” the analysts say. More Analyst Ratings here