CS First Boston upgraded Citrix Systems (CTXS) to buy from hold.
Analyst John Rizzuto says he thinks the market for Citrix products is accelerating, and he expects the company to benefit for the balance of the year. He says Citrix has successfully embarked on a number of initiatives to increase its ability to leverage its internal infrastructure to further penetrate accounts and increase operating margins. He notes the Windows 2000 upgrade cycle represents a big opportunity for the company as he thinks it possesses the best thin client access solution in the marketplace with a proven track record.
He lowered his $0.77 2001 EPS estimate to $0.73 to reflect the recent Sequoia Software acquisition, and raised his $0.87 2002 EPS estimate to $0.92.