Oppenheimer Maintains Outperform On Ruckus Wireless, Sees 25% Upside For The Stock


In a research report released today, Oppenheimer analyst Ittai Kidron maintained an Outperform rating on Ruckus Wireless (NYSE:RKUS) with a $16 price target, which represents a potential upside of 25% from where the stock is currently trading.

Kidron noted, “Ruckus’s 3Q14 was generally consistent with our preview including in-line sales and EPS upside. Overall execution/margin performance was good; 802.11ac is becoming the catalyst we expected; customer adds remain healthy; and vSCG and HotSpot 2.0 momentum is encouraging. These positives are offsetting spots of 3Q/4Q weakness in Europe (Germany/Russia) and mixed NT education spending (as we previewed) ahead of what’s shaping up to be a strong 2015 sales cycle driven by new E- rate spending and more 802.11ac upgrades. Overall, we see the results/margin performance providing support for the shares despite the cautious 4Q14 sales guide. We’d remain longer term buyers with a view into 2015.”

According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Ittai Kidron has a total average return of 10.2% and a 64.9% success rate. Kidron has a -13.6% average return when recommending RKUS, and is ranked #303 out of 3358 analysts.

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