- Oppenheimer analyst Timothy Horan downgraded Vonage Holdings Corp VG to Perform from Outperform without a price target.
- Horan cites valuation for the downgrade, with the shares up 28% year-to-date.
- On a potential buyout, the analyst says Vonage is "unattractive to strategics" and that private equity is unlikely to pay much more than $18 per share.
- Horan also believes the company will face competitive pressures from DialPad, OOMA, and WhatsApp.
- He expects enterprises to downsize unified communications as a service due to low utilization.
- Price Action: VG shares traded lower by 2.11% at $15.8 in the premarket session on the last check Wednesday.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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