MARKET TALK: Goldman Sachs Cuts Micro Focus Price Target

25th Jun 2010 07:37

0637 GMT [Dow Jones] Goldman Sachs cuts Micro Focus International (MCRO.LN) price target to 510p from 620p to reflect potential execution risks. Says the departure of CFO Nick Bray is a big setback, and despite the sharp fall in the shares does not believe risk-reward is compelling. Notes Bray was one of the key architects of the turnaround post IPO, and had been an important pillar in the execution of the organic growth. "With a new CEO...and still lots to do in terms of the go-to-market model, we are mindful of short-term execution risks." Keeps the stock at neutral. Shares closed Thursday at 460p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 25, 2010 02:37 ET (06:37 GMT)