Needham & Company Reiterates Buy on Gigamon, Inc. (GIMO) Following a 3Q Beat and Raise

Needham & Company Reiterated a Buy rating and $39.00 price target on Gigamon (NYSE: GIMO) following the company's 3Q15 earnings results. Gigamon beat EPS estimates by 30%, and Revenues increased 44%.

Analyst Alex Henderson commented, "Gigamon beat EPS estimates by 30%. Product Sales increased 48% and Revenues increased 44%. GMs jumped and GIMO increased its long-term GM target by 200 bps. Operating Margin came in 499 bps ahead of forecast at 21.8%, up from 4% in the year ago and 17.4% last quarter. What's not to like? GIMO solidly raised guidance above Street estimates and demonstrated positive metrics almost across the board. We are strongly reiterating our Buy rating, $39 target price, and Single Best Idea status even as we raise our estimates once again."

For an analyst ratings summary and ratings history on Gigamon click here. For more ratings news on Gigamon click here.

Shares of Gigamon closed at $22.40 yesterday.

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