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

KeyBanc Cuts Epicor Software to Hold from Buy


KeyBanc downgraded Epicor Software (EPIC) to hold from buy, explaining that the company's acquisition of CRS Retail Systems introduces additional execution risk over the near term.

Analyst Mark Schappel says the company's management is likely to spend the next two to three quarters sorting through integration issues. He believes cross-selling benefits from the deal are likely to be remote near term, as CRS and Epicor participate in different industries (CRS in retail and Epicor in manufacturing.) He says the deal is likely to pressure Epicor's operating margins over the next 12 months, albeit modestly. He also notes that Epicor's balance sheet is assuming net negative cash, which is unusual for a software vendor.


LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus