UPDATE: Deutsche Bank Reiterates on Kforce Following 2Q Revenue Guidance

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

, and raised the price target from $21.00 to $22.00. In the report, Deutsche Bank noted, “We are increasing our '14E EPS +5% and raising our PT from $21 to $22. Kforce issued 2Q rev guidance that is above Street and our previous estimates and implies no further rev growth acceleration from 1Q. Our 2QE moved from $0.29 to $0.32 (prior Street at $0.30) and our ‘14E EPS increases +5% from $1.16 to $1.22 (prior Street at $1.18). While we raise our price target from $21 to $22 on higher '14E EPS, we maintain our Hold rating. At our price target, Kforce would trade at 18x our ‘14E EPS, which is no longer much of a discount to peers.” Kforce closed on Tuesday at $21.03.