UPDATE: Goldman Sachs Initiates Coverage on Demandware


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


According to a research report published this morning, Goldman Sachs has initiated Demandware (NYSE: DWRE) with a Neutral rating and $30 PT.In the report, Goldman Sachs commented, "We see Demandware as one of the best positioned Software-as-a-Service vendors longer term for three reasons: 1) growth benefits from two of the biggest trends in technology (e-commerce and SaaS), 2) the offering is significantly differentiated and difficult to replicate, and 3) existing customers rarely churn and are profitable, as illustrated by 80% subscription margins. Despite our positive view, though, at 12.2x 2012 EV/revenues versus the group at 6.8x, we see limited near-term stock outperformance and believe DWRE will need to grow into its multiple."Demandware closed yesterday at $28.28.

27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


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Posted In: Analyst ColorInitiationAnalyst RatingsGoldman Sachs