Until recently, the technology sector was the main driver of this market. Tech stocks helped push the markets to all-time highs before the return of volatility that we saw last month. However, it’s not unreasonable to think that a rally in the tech sector could lead to an overall recovery in the broad markets.
It all starts with individual stocks, and 24/7 Wall St. has picked out a few tech stocks that are already helping on the road to recovery. At least this is what analysts are calling for in these stocks.
Autodesk Inc.’s (NASDAQ: ADSK) share price surged after the firm reported better than expected earnings late on Tuesday. The company said that it had a net loss of $0.09 per share on $553.8 million in revenue, compared with consensus estimates of a net loss of $0.12 per share and $545.3 million in revenue.
Here’s what analysts had to say:
- Robert W. Baird raised its price target to $135 from $130.
- Barclays raised the price target to $140 from $135.
- Canaccord Genuity reiterated a Buy rating and raised its target to $150 from $135.
- Cowen reiterated an Outperform rating and raised its target to $140 from $130.
- Credit Suisse reiterated an Outperform rating and raised its target to $150 from $135.
- JPMorgan reiterated an Overweight rating and raised its target to $150 from $130.
- Oppenheimer reiterated an Outperform rating raised its price target to $145 from $135.
- RBC Capital Markets reiterated it as Outperform and raised its target from $140 to $156.
- Wedbush maintained a Neutral but still raised its price target to $130 from $126.
Shares of Autodesk were last seen up about 13% at $135.68, with a consensus analyst price target of $131.62 and a 52-week trading range of $81.82 to $136.82.
Casa Systems Inc. (NASDAQ: CASA) saw its shares pop once the firm announced earnings after the market closed Tuesday. However, the excitement wore off in Wednesday’s session and shares slid lower. The company said that it had $0.06 in earnings per share (EPS) on $118.0 million in revenue, compared with consensus estimates of $0.34 in EPS on revenue $101 million.
Analysts said this:
- Barclays raised the price target to $25 from $21.
- Morgan Stanley raised its target to $23 from $21.
- Northland Capital raised the target price to $33.
- Raymond James raised its target to $26 from $23.
- Stifel raised its price target from $23 to $27.
Casa Systems shares traded down less than 1% at $24.15 on Wednesday, with a consensus price target of $25.00 and a 52-week range of $0.09 to $25.90.
Ciena Corp. (NYSE: CIEN) reported a better than expected first-quarter results. The firm said it had EPS of $0.15 and $646.1 million in revenue, beating consensus estimates of $0.12 in EPS on $643.2 million in revenue.
Here’s what analysts said afterward:
- BMO Capital Markets has an Outperform rating and raised its target to $32 from $25.
- B. Riley reiterated a Buy rating and raised its price target from $27.50 to $31.
- Deutsche Bank raised the price target to $21 from $20.
- Dougherty lifted its price target to $30 from $25.
- Nomura raised its price target to $30 from $26.
- Merrill Lynch reiterated a Buy rating and raised its target to $30 from $28.
Shares of Ciena were up nearly 3% at $26.44. The consensus price target is $27.69, and the 52-week range is $19.40 to $27.98.
24/7 Wall St.CyberArk Software Ltd. (NASDAQ: CYBR) shares rose after the cybersecurity provider hosted its investor day and two analysts chimed in with upside:
- Evercore ISI rates it as Outperform and raised its target to $60 from $56.
- Oppenheimer raised its price target to $56 from $54.
- Imperial Capital Maintained an In-Line rating and raised its target to $50 from $44.
CyberArk traded up nearly 2% at $50.12 a share, with a consensus analyst target of $53.11 and a 52-week range of $39.34 to $55.63.
Keysight Technologies Inc. (NYSE: KEYS) received some love from analysts after the firm announced a $350 million stock repurchase program. Ultimately this makes up about 3.5% of the firm’s total market of $10 billion.
Here’s what analysts said:
- Barclays raised its price target to $56 from $53.
- Credit Suisse raised its target from $54 to $57.
- Jefferies raised its price target to $62 from $54.
Keysight shares were trading at $52.41, with a consensus price target of $53.63 and a 52-week range of $35.05 to $52.87.
Reaction to Ooma Inc. (NYSE: OOMA) was muted after its announced $0.03 EPS loss was better than expected, due to 10% revenue growth for the office and home IP-based phone systems provider. Merrill Lynch commented:
We are upgrading OOMA shares to Neutral from Underperform on slightly better fundamentals, PO to $14 from $10. The home Telo business showed slight acceleration to 13% y/y vs 11% the prior two quarters. Office continues high-growth rate (23% of revenues vs. 18% last year), growing 55% this quarter.
A few other analysts weighed in as well:
- B. Riley reiterated a Buy rating and raised its price target to $14 from $13.
- Credit Suisse maintained a Neutral rating and raised its target to $13 from $12.
- Northland Capital raised price target from $13 to $15.
Shares of Ooma were up about 1% at $12.10. The consensus price target is $12.40. The 52-week range is $7.30 to $12.75.
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