RBC Capital Believes Ultimate Software (NASDAQ: ULTI) Won’t Stop Here

By Carrie Williams

RBC Capital analyst Ross MacMillan reiterated a Buy rating on Ultimate Software (NASDAQ: ULTI) yesterday and set a price target of $233. The company’s shares closed last Friday at $223.20, close to its 52-week high of $224.09.

According to TipRanks.com, MacMillan is a top 25 analyst with an average return of 24.9% and a 88.5% success rate. MacMillan covers the Technology sector, focusing on stocks such as SS&C Technologies Holdings, Intralinks Holdings, and Palo Alto Networks.

Currently, the analyst consensus on Ultimate Software is Strong Buy and the average price target is $238.83, representing a 7.0% upside.

In a report issued on May 24, Canaccord Genuity also reiterated a Buy rating on the stock with a $240 price target.

Based on Ultimate Software’s latest earnings report for the quarter ending March 31, the company posted quarterly revenue of $228 million and quarterly net profit of $7.33 million. In comparison, last year the company earned revenue of $187 million and had a net profit of $2.44 million.

Based on the recent corporate insider activity of 66 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 ULTI in relation to earlier this year. Earlier this month, Robert Yanover, a Director at ULTI bought 6,250 shares for a total of $92,000.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

The Ultimate Software Group, Inc. engages in the development and provision of Web-based payroll and workforce management software solutions. The UltiPro software, which is designed to deliver the functionality businesses need to manage the complete employment life cycle from recruitment to retirement. Its products involves solutions for talent acquisition and on boarding, human resources management and compliance, benefits management and online enrollment, payroll, performance management, salary planning and budgeting for compensation management, succession management, reporting and analytical decision-making tools, and time and attendance. It also offers role-based features for human resources professionals, executives, managers, administrators, and employees whether they are in or out of the office. The company was founded by Scott S. Scherr in April 1996 and is headquartered in Weston, FL.