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Reducing Estimates and Price Target to Reflect Potential Impact of COVID-19

We lower our FY ’20 estimates for CTG, Inc. (CTG) and reduce our price target from $8.00 to $6.25 based on a FY ’21 EV/EBITDA multiple of 5x. Our revisions reflect the anticipated near-term impact on CTG’s business from measures enacted across the globe to reduce the spread of coronavirus.

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CTG Inc. (CTG)Kevin LiuMarch 31, 2020Sponsored Research, IT Solutions, IT Staffing, COVID-19, coronavirus
K. Liu's Week in Review

Amidst an exponential rise in coronavirus cases and a surge in unemployment claims, market sentiment was still more positive than in recent weeks as Congress passed a landmark $2 trillion stimulus package.

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Software IndustryKevin LiuMarch 28, 2020AEYE, ATEN, BOX, ECOM, EVBG, NTCT, PRGS, SCWX, VMW
K. Liu's Week in Review

Coronavirus continued to dominate the headlines, making for another volatile week in the markets. By week’s end, California had enacted a stay-at-home order with several other states expected to follow suit in short order.

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Software IndustryKevin LiuMarch 21, 2020AMSWA, CLDR, COUP, CRWD, ECOM, MDB, PD, QADA, RDWR, SMAR, SSTI
QAD's Fiscal Q4 '20 Results Highlighted by Robust Cloud Bookings Growth and Margin Expansion

On the surface, QAD’s (QADA) fiscal Q4 ’20 results appeared mixed with revenue a hair shy of our estimate and consensus but profitability coming in comfortably ahead of Street expectations.

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QAD Inc. (QADA)Kevin LiuMarch 19, 2020Manufacturing ERP, Industry 4.0, QADA, QADB, Cloud
QAD Inc. Q4 '20 Earnings Preview

QAD (QADA) reports its fiscal Q4 ’20 results after the close on Wednesday, March 18. Between a more favorable manufacturing backdrop and management’s lowered FY ’20 guidance following last quarter’s print, we believe expectations for Q4 have been appropriately set.

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QAD Inc. (QADA)Kevin LiuMarch 16, 2020Manufacturing ERP, QADB, QADA
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