- Following an earlier downgrade to Sell at Dougherty & Company, Credit Suiise reinstates coverage on Callidus Software (CALD -3.3%) with a $22 price target (current price $18.26). Callidus' recent 4M share stock offering is cited as potentially enabling acquisitions and furthering R&D efforts.
- Analyst Michael Nemeroff: "We view CALD shares as attractive due to the company's: (1) best-of-breed, fully integrated product suite, which competes against mostly point solutions, (2) significant cross-sell / up-sell opportunity of multiple products into its existing customer base (only 400 out of 4,800 are using multiple CALD products)." Callidus Software's margin profile and transition to a 100% subscription revenue model also noted.
- Estimates respective FY 2016 and FY 2017 revenue of $205M and $240.3M, and respective EPS of $0.27 and $0.28.