Amdocs shares touch 52-week high on strong qrtly results

giovedì 21 gennaio 2010 17:48
 

 Jan 21 (Reuters) - Shares of Amdocs Ltd DOX.N touched
their year high on Thursday, a day after the phone-billing and
customer management software maker reported strong quarterly
results, prompting at least five brokerages to raise their
price targets on the stock.
 Management's enhanced confidence is being driven by
continued strength in managed services, stabilization in the
project-based and European businesses, as well as shorter sales
cycles, UBS wrote in a note.
 "We were encouraged by the positive trends within managed
services during the December quarter, as the segment will be a
core growth driver during the second half of 2010 and beyond,
Daniel Ives at FBR Capital Markets said.
 Amdocs was upbeat on revenue for the current quarter,
noting that growth was back and customers were willing to
spend. [ID:nSGE60J0MK]
 Amdocs' several small contracts with carriers, including
DAVE wireless, MetroPCS PCS.N, Clearwire and Vonage,
represent a new growth avenue and could sum up to a noticeable
amount, BofA Merrill Lynch analyst Tal Liani said in a note.
 Liani upgraded the stock to "buy" from "neutral."
 Analyst Scott Sutherland of Wedbush noted that extended
contracts with key managed service customers, AT&T (T.N: Quotazione) and
Bell Canada (its two largest customers), improved long-term
revenue visibility.
 Shares of the company were trading up 4 percent at $29.72
Thursday on the New York Stock Exchange. They touched a high of
$30.63 earlier in the session.
 Below is a list of price target changes:
 Brokerages               Price target ($)    Rating
                           New    Old
 Oppenheimer               35      32        Outperform
 Kaufman Brothers          32      28        Hold
 FBR Capital Markets       30      26        Market Perform
 Wedbush                   30      28        Neutral
 UBS                       29      27        Neutral
 (Reporting by Mansi Dutta in Bangalore; Editing by Anil
D'Silva)