Deutsche Bank Comments on SuccessFactors

Deutsche Bank has published a research report on SuccessFactors SFSF after 2Q results. In the report, Deutsche Bank wrote, "SFSF reported results of $73.2m/$0.03 vs. estimates of 70m/$0.00. Billings were up 42% (up 38%, ex-Plateau) y/y above our 31% and most optimistic buyside estimates, allaying investor concerns about slowing growth. Earnings benefited by immediate accretion from Plateau, which also allows the company to focus on selling a fuller suite. FY11 guidance raise of $35m includes about $12m of organic revenue apart from $20m from Plateau (vs. our $16m est) for 2H11, indicating increasing momentum in the business. Reiterate Buy and $45 target." Deutsche Bank rated SuccessFactors a BUY with a price target of $45.00. SuccessFactors closed Tuesday at $25.28.