Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Markets & Finance

Merrill Downgrades Eclipsys to Sell


Merrill Lynch downgraded Eclipsys (ECLP) to near term reduce/sell from buy, and long term neutral from buy.

Analyst David Risinger says he believes the company's transition to a subscription-based revenue recognition business model has yielded no financial visibility given the extreme magnitude of a shortfall this quarter (prior guidance was $0.11-$0.13 earnings per share). He had previously downgraded Eclipse in April when it disclosed a big drop in its VOC sales pipeline.

Risinger says he's also concerned that the company had rounded its sales funnel estimates to the nearest $100 million vs. rounding to the nearest $1 million in prior quarters. He cut the $0.55 2002 EPS estimate to $0.32, and trimmed the $0.67 2003 estimate to $0.55.


LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus