Some recent FireEye news about an upgrade for the company has FEYE stock heading higher on Monday.
The upgrade to FireEye (NASDAQ:FEYE) comes from JPMorgan Chase analyst Sterling Auty. This upgrade has the analyst moving FEYE stock from a “Neutral” rating to a new rating of “Overweight.”
To go along with the upgrade from the JPMorgan Chase analyst is a price target of $20. This represents a roughly 24% premium over FEYE stock’s closing price of $16.10 on Friday. The price target is based on a 4.75 time multiple over FireEye’s revere outlook of $959 million for 2020.
“FireEye has re-established itself as a leading cybersecurity company, but by combining the market leading incident response service with an expanding product portfolio,” Auty said in a research note obtained by TheStreet.com. “We believe the transition is complete and now FEYE is in position to see billings growth in the high single digits and the potential to over deliver and see double digit growth.”
According to Sterling Auty, FireEye has already shown its strong potential to investors with results from its December quarter. This saw the company’s billings for the period increase by 10%. The JPMorgan Chase analyst believes that investors are likely to see more results like this in the future, which is the reason behind the recent upgrade to FEYE stock.
FEYE stock was up 5% as of Monday afternoon.
As of this writing, William White did not hold a position in any of the aforementioned securities.