Goldman Sachs Upgrades PeopleSoft
Goldman Sachs added PeopleSoft (PSFT ) to its recommended list. The stock had been rated market outperformer.
Analyst Steven Kahl says Q1 results are better than expected and that management maintained its guidance. He thinks the company regained its former status as a preferred vendor with a broad Internet based product portfolio, a broad geographic region, vertical market coverage, a recognized brand and a strong financial position.
Kahl says more products are coming, margins are growing and the company is taking share profitability from comparisons. He says PeopleSoft did not experience a bubble in 2000 so it's not experiencing an aftershock in 2001. He raised his $0.55 2001 EPS estimate to $0.58.