Splunk Inc. Receives a Hold from MKM Partners

By Jason Carr

MKM Partners analyst Kevin Buttigieg reiterated a Hold rating on Splunk Inc. (NASDAQ: SPLK) today and set a price target of $60. The company’s shares opened today at $62.48, close to its 52-week high of $65.75.

Buttigieg said:

“We are increasing our fair value estimate to $60 from $55 as we move our billings estimate forward and adopt a slightly more conservative multiple.”

According to TipRanks.com, Buttigieg is a 4-star analyst with an average return of 7.4% and a 57.9% success rate. Buttigieg covers the Technology sector, focusing on stocks such as Informatica Corp., Ultimate Software, and Citrix Systems.

Currently, the analyst consensus on Splunk Inc. is Moderate Buy and the average price target is $70.50, representing a 12.8% upside.

In a report issued on November 23, Barclays also reiterated a Hold rating on the stock with a $56 price target.

The company has a one year high of $65.75 and a one year low of $29.85. Currently, Splunk Inc. has an average volume of 1.52M.

Based on the recent corporate insider activity of 77 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of SPLK in relation to earlier this year. Most recently, in April 2016, Guido Schroeder, the SVP, Products of SPLK bought 7,833 shares for a total of $70,497.

Splunk, Inc. engages in the development and provision of software solutions. It offers cloud services, enterprise security, application delivery, big data, business analytics, information technology operations, and log management through its machine data product. It analyzes machine data to deliver operational intelligence for security, IT and the business. The company was founded by Erik M. Swan, Michael J. Baum and Robin K. Das in October 2003 and is headquartered in San Francisco, CA.