Wedbush cut shares of Nuance Communications (NASDAQ:NUAN) from an outperform rating to a neutral rating in a research note issued to investors on Tuesday, TheFlyOnTheWall.com reports. The firm currently has $15.00 price target on the stock, down from their previous price target of $22.00.
“Nuance reported F4Q slightly ahead of estimates, but issued FY14 EPS guidance meaningfully below expectations. While the business model transition issues have been ongoing for some time: (1) shift toward cloud-based services in mobile and enterprise, (2) move toward EMR-based Dragon Medical sales in healthcare and away from cloud-based eScription, it appears the trends have accelerated, creating incremental visibility concerns and risk heading into FY14. At the same time, Nuance is ramping investments in several areas, putting additional pressure on margins. With the continued uncertainty associated with the business model shifts, limited forward visibility into revenue and margins, and lack of near-term catalysts, we are lowering our rating to NEUTRAL.,” Wedbush’s analyst wrote.
Shares of Nuance Communications (NASDAQ:NUAN) traded up 2.26% on Tuesday, hitting $13.396. The stock had a trading volume of 12,710,552 shares. Nuance Communications has a one year low of $13.00 and a one year high of $24.85. The stock’s 50-day moving average is $16.39 and its 200-day moving average is $18.32. The company has a market cap of $4.157 billion and a P/E ratio of 122.43.
Nuance Communications (NASDAQ:NUAN) last issued its quarterly earnings data on Monday, November 25th. The company reported $0.30 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.29 by $0.01. The company had revenue of $472.20 million for the quarter, compared to the consensus estimate of $489.56 million. During the same quarter in the previous year, the company posted $0.51 earnings per share. The company’s revenue for the quarter was up .1% on a year-over-year basis. Analysts expect that Nuance Communications will post $1.41 EPS for the current fiscal year.
Other equities research analysts have also recently issued reports about the stock. Analysts at Oppenheimer reiterated a sell rating on shares of Nuance Communications in a research note to investors on Wednesday, November 13th. They now have a $23.00 price target on the stock. Separately, analysts at Deutsche Bank reiterated a buy rating on shares of Nuance Communications in a research note to investors on Monday, November 4th. They now have a $24.00 price target on the stock. Finally, analysts at Zacks upgraded shares of Nuance Communications from an underperform rating to a neutral rating in a research note to investors on Thursday, October 31st. They now have a $16.30 price target on the stock. One equities research analyst has rated the stock with a sell rating, eleven have assigned a hold rating and four have given a buy rating to the stock. The company currently has a consensus rating of Hold and an average price target of $20.27.
Nuance Communications, Inc is a provider of voice and language solutions for businesses and consumers globally.
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