UPDATE: Citigroup Raises Price Target After Riverbed Tech Rejects Elliot Offer

In a report published Thursday, Kimberly Watkins, Citigroup analyst reiterates their Buy rating on

and adjusts price target from $21 to $23. The bump comes after Riverbed rejects a $3.08 billion cash offer from Elliot Management. Watkins notes in the report, "Riverbed positively preannounced Q413 results AND guided Q114 above our est this morning, while the Board also rejected Elliott's $19/share unsolicited offer, as we expected. We believe the EPS upside supports our thesis, and we continue to expect revenue growth to reaccelerate." Citigroup expects Elliot to raise their offer at some point. RVBD closed Wednesday at $20.11 and currently trading at $20.31.