FireEye Inc (NASDAQ:FEYE), the leader in stopping today’s advanced cyber attacks, today announced preliminary results for the fourth quarter of 2015.
Fourth quarter total billings, total revenue and non-GAAP loss per share are expected to be within previously issued guidance ranges. Total fourth quarter revenue is expected to be in the range of $184 million to $185 million and total fourth quarter billings are expected to be within the range of$256 million to $257 million. Further, the company also expects positive operating cash flow in the range of $7 to $9 million for the fourth quarter, resulting in positive operating cash flow of between $35 million and $37 million for 2015.
FireEye expects to release final fourth quarter and full year 2015 results after the close of the U.S. markets on February 11, 2016.
“We posted solid results in our fourth quarter,” said David DeWalt, chairman of the board and chief executive officer at FireEye. “We have built a powerful platform to combat advanced threats, and we will continue to expand with new products and subscriptions, including new subscriptions based on iSIGHT Partners threat intelligence. While we will provide a more complete picture of our 2016 outlook when we release our full Q4 and 2015 financial results on February 11th, we expect we can grow billings organically by 20 percent and achieve positive free cash flow for 2016. At the same time, we will remain focused on continued progress on our path to profitability.”
Acquisition of iSIGHT Partners Announced
In a separate news release issued today, the company announced the acquisition of privately held iSIGHT Partners, a global leader in threat intelligence. The combination, which recognizes the critical role of high fidelity threat intelligence in protecting customers from today’s cyber attacks, enhances FireEye’s advanced threat management platform with contextual threat intelligence on attacks before they occur. The transaction closed onJanuary 14, 2016 and is expected to be slightly accretive to FireEye’s 2016 operating income and cash flow. (Original Source)
Shares of FireEye are upp 4.51% to $15.54 in after-hours trading. FEYE has a 1-year high of $55.33 and a 1-year low of $13.28. The stock’s 50-day moving average is $20.33 and its 200-day moving average is $31.96.
On the ratings front, FireEye has been the subject of a number of recent research reports. In a report released today, Wunderlich Securities analyst Robert Breza reiterated a Buy rating on FEYE, with a price target of $21, which represents a potential upside of 45.7% from where the stock is currently trading. Separately, on January 11, Wedbush’s Steven Koenig reiterated a Hold rating on the stock and has a price target of $21.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Robert Breza and Steven Koenig have a total average return of -4.2% and -0.4% respectively. Breza has a success rate of 42.1% and is ranked #2741 out of 3580 analysts, while Koenig has a success rate of 34.0% and is ranked #2109.
Overall, 7 research analysts have assigned a Hold rating and 7 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $41.00 which is 184.5% above where the stock opened today.
FireEye Inc provides cybersecurity solution for detecting, preventing and resolving cyber-attacks that evade legacy signature-based security products. Its solutions include traditional and next-generation firewalls, IPS, anti-virus, and gateways.