UPDATE: Deutsche Bank Reiterates Hold Rating, Raises PT on Red Hat on Balanced Risk/Reward

In a report published Friday, Deutsche Bank analyst Greg Poole reiterated a Hold rating on

, and raised the price target from $45.00 to $48.00. In the report, Deutsche Bank noted, “RHT reported 3Q14 rev well above est of $397m vs. our/ cons of $382.5m/ $383m. EPS of $0.42 benefited from a 6c tax benefit without which EPS still beat est of $0.35 by a penny. Billings grew a healthy 21% CC, but adjusting for a multi-year large deal in F2Q that positively impacted LT deferred in the qtr, was still in the high-teens. Guidance was above street for the final qtr of FY14, allaying concerns of slowing billings growth seen the last two qtrs. While the stock was up over 10% in the after-market, we caution that calculated billings in the qtr are not an exact measure of the underlying fundamental momentum. Reiterate Hold on balanced risk/reward at these levels.” Red Hat closed on Thursday at $49.00.