Bank of America Reiterates Buy, $41 Target on Taleo

Bank of America maintains its Buy rating and $41 target price on Taleo Corporation

as SuccessFactors acquisition raises the company's strategic and scarcity value. Bank of America says, “The acquisition certainly raises the profile of other Cloud names like CRM, RAX, CNQR, and especially TLEO. TLEO is a direct competitor to SFSF in the talent management space and one of the few to have built a platform targeting recruiting, performance mgt, learning and compensation. This deal puts TLEO in a scarce bucket of fast growing Cloud companies (+34% for CY11E, organic +20-25%) targeting the talent management space.” TLEO closed at $32.96 per share on Friday.