Market Overview

UPDATE: Morgan Stanley Upgrades Splunk Inc


In a note released Monday morning, Morgan Stanley analyst Keith Weiss upgraded shares of Splunk Inc (NASDAQ: SPLK) from Equal-weight to Overweight and announced a $66 price target.

Weiss commented, "As a 'Bid Data pure play, Splunk benefits from strong secular tailwinds and significant market momentum."

As evidence of this momentum, Weiss cited Splunk's ~40 percent year-over-year growth in sales capacity, second quarter billings acceleration despite price cuts, a good deal of the top-line upside in the second quarter flowed into operating margins.

Looking ahead, Weiss expects the upcoming user conference and analyst day to serve as a catalyst and is placing a "high probability" on his bull case (sustained 50 percent FCF growth).

Amid the upgrade, Splunk shares are trading up about four percent in Monday's pre-market session.

Latest Ratings for SPLK

Jun 2019AssumesOverweight
Jun 2019Initiates Coverage OnNeutral
May 2019MaintainsOutperform

View More Analyst Ratings for SPLK
View the Latest Analyst Ratings

Posted-In: Keith Weiss Morgan StanleyAnalyst Color News Upgrades Price Target Analyst Ratings


Related Articles (SPLK)

View Comments and Join the Discussion!

UPDATE: Bank Of America Reiterates On Canadian Pacific Railway Limited On Great Management Team

Streamline Health Secures Signed Work Order For Abstracting Solution With New Channel Partner