FBN Securities Initiates Coverage on Concur Technologies at Sector Perform on Leadership Position In Travel & Entertainment Market

in a report published by FBN Securities, analyst Shebly Seyrafi initiated coverage on Concur Technologies CNQR with a Sector Perform rating and $75 price target. FBN securities reported that, “We are initiating coverage of Concur Technologies (CNQR) with a Sector Perform rating and a $75 PT. CNQR has a strong position in the SaaS T&E market, a market where larger competitors (e.g. Oracle and SAP) are not strongly focused and where more focused competitors have materially lower scale. With a NG operating margin of 16% expected in F2013, CNQR has room to expand margins further to around 27-28% (and we see upside to 30%+). The recent $1.4B GSA win (over 15-years) should contribute $80-100M/year in revenue to the company in F2017 but should add material revenue to CNQR as early as F2015. Still, investors are concerned about the high implied revenue growth in FH2 2013 in order to hit guidance, along with a more difficult compare in F2013. “ Shares of Concur Technologies closed at $69.64 on Tuesday.