Market Overview

MUFG Wouldn't Be Surprised If Qlik Sale Rumor Is True

Share:
  • Shares of Qlik Technologies Inc (NASDAQ: QLIK) spiked higher by more than 8 percent following unconfirmed M&A chatter.
  • Stephen Bersey of MUFG commented in a note that market chatter of a potential sale is likely to be "accurate."
  • The analyst maintained an Outperform rating on shares of Qlik with a price target raised to $34 from a previous $24.

Shares of Qlik Technologies Inc (NASDAQ: QLIK) were trading higher by more than 8 percent on Monday following news reports that the company has hired bankers to explore a potential sale of itself.

According to Stephen Bersey of MUFG, Qlik Technologies' stock will "outperform with or without a sale." The analyst maintained a an Overweight rating on the stock with a price target boosted to $34 from a previous $24.

According to Bersey, Qlik's technology could "increase its attractiveness" to large legacy vendors, including SAP, Oracle and IBM. The analyst added that the company also has the potential to achieve above-peer top and bottom-line growth for several years given its new Qlik Sense product release.

Bersey continued that while the market chatter of a potential acquisition has yet to be confirmed to be accurate, a potential transaction "would make sense" and the market is "showing signs of agreeing." The analyst also added that a major shareholder and activist investor, Elliot Management, adds credibility to the story and "we would not be surprised of the story were accurate."

"Although Qlik could draw interest from a host of buyers, we believe that the stock is undervalued on a stand-alone basis, and we recommend building or adding to positions," the analyst concluded.

Latest Ratings for QLIK

DateFirmActionFromTo
Sep 2016Roth CapitalAssumesBuy
Aug 2016Brean CapitalTerminatesHold
Aug 2016BarclaysTerminatesOverweight

View More Analyst Ratings for QLIK
View the Latest Analyst Ratings

Posted-In: Elliot Management MUFG qlik technologies Stephen BerseyAnalyst Color Long Ideas Analyst Ratings Trading Ideas

 

Related Articles (QLIK)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
FNKODA DavidsonMaintains9.5
FCAUCFRAReiterates16.0
PODDCFRAMaintains162.0
MRNANeedhamMaintains35.0
REALB of A SecuritiesMaintains21.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com