Adobe: Goldman Ups Targets, Estimates; Stock Rallies
Adobe (ADBE) shares are trading higher today after Goldman Sachs analyst Sasa Zorovic boosted his target price on the stock to $43 from $40, and raised his EPS estimates for the company.
Zorovic wrote in a research note this morning that the moves reflect “strength in the [Creative Suite 3] product cycle, international demand, earlier-than-anticipated release of Acrobat 9, and likely strong demand for [the] CS3.3 bundle prior to the CS4 release.”
For the November 2008 fiscal year, his revenue estimate goes to $3.575 billion, from $3.561 billion. His pro forma EPS estimate (including stock option expense) goes to $1.66 from $1.65 for this year, to $1.95 from $1.93 for next year, and to $2.22 from $2.20 for fiscal 2010.
Zorovic keeps his Neutral rating on the stock, noting that Adobe trades at a premium to other large cap software names, limiting upside.
ADBE today is up $1.49, or 3.6%, to $42.48.
I also like Goldman Sach’s another pick. On June 05, 2008 Goldman Sachs upgraded Nvidia Corp. (NVDA) to Buy from Neutral.
They said about NVDA: We think trends in its near-term business are likely to be better than we had expected. Based on recent checks we are now more constructive on Nvidia’s competitive position in desktop GPUs, and think that it could see some upside in its chipset business as the result of stronger sales for Intel platforms. We expect AMD’s competitive position to deteriorate after its latest product release, and that Nvidia will benefit from a structurally improved GPU market.
any comments on Qualcomm
Tech Trader Daily is a blog on technology investing written from Palo Alto, California by long-time Barron's West Coast Editor Eric J. Savitz. The blog provides news, analysis and original reporting on events important to investors in software, hardware, the Internet, telecommunications and related fields.
