UPDATE: Goldman Sachs Initiates Coverage on Dun & Bradstreet on Slower-Than-Expected Turnaround

In a report published Friday, Goldman Sachs analyst Andre Benjamin initiated coverage on Dun & Bradstreet Corp. (NYSE: DNB) with a Sell rating and $94.00 price target.

In the report, Goldman Sachs noted, “We initiate coverage of DNB with a Sell rating and -11% total return to a $94, 12-month, multiples-based target price vs. 6% upside for rest of coverage. While we believe DNB will show improved EBITDA growth on the back of a new product cycle, we do not believe growth will be as robust as consensus estimates imply due to competitive pressures on pricing and the cost of investing in new product development. Further, we expect growth to remain well below the group average. Shares have outperformed the S&P 500 by 15% YTD, seemingly driven by optimism about the potential for EBITDA growth to reaccelerate; we are 5%/3% below consensus for FY13E/FY14E.”

Dun & Bradstreet Corp. closed on Thursday at $107.91.