F5 Networks (FFIV, $126.98) stock this morning is rallying more than 6% following the release of FQ4 (Sept.) results yesterday after the close. The RSI has spiked to 70.7.

The stock pushed through short-term resistance at $124 and is now approaching the downward sloping 200-day moving average of $129.71.

There’s resistance at $129.25 and $130 from July.

Canaccord raises its ServiceNow (NOW, $125.63) price target to $150 from $130 following the release of solid Q3 results. 

Revenue rose 39% to $498.2 million, above the consensus estimate of $491.6 million. EPS of 38 cents topped the consensus by six cents.

The firm sees a bias to the upside for longer-term revenue growth and margin expectations.

Akamai Technologies (AKAM, $55.77) last night delivered beat-and-raise results. Akamai shares this morning are sporting a 7.4% gain on the news.

In Q3, EPS of 62 cents beat the consensus estimate by three cents on revenue of $621 million, above the consensus of $610.7 million.

For Q4, Akamai sees EPS of 60 cents to 65 cents (the consensus is 60 cents) on revenue of $638 million to $656 million, vs. the consensus of $641 million.

Bernstein raises its Apple (AAPL, $157.16) fiscal 2018 (Sept.) EPS estimate to $11.75 from $11.05 to reflect higher iPhone ASPs. The consensus is $11.09.

Based on product mix numbers from a recent survey of 1,100 iPhone users, the firm’s model points to upside bias on pricing. Bernstein raises its FY’18 iPhone ASP estimate to $753 from $702. The firm maintains its price target of $175.

Cisco Systems (CSCO, $34.35) earlier today announced that it would acquire BroadSoft (BSFT, $54.80), a provider of cloud-based communications software, for $55 a share in cash in a deal valued at $1.9 billion (net of cash and including conversion of debt).

It may have taken longer than expected, but we called out BroadSoft as a potential acquisition target for Cisco back in the February 2013 issue of Tech-Stock Prospector (TSP #132). At the time, BroadSoft shares were trading around $37.10.

In the March 2013 issue (TSP #133), after BroadSoft shares had suffered a sharp setback into the low-$20s because of cautious guidance, we wrote that the company “remains a buyout candidate, especially at this lower valuation, given its longer-term growth prospects in hosted PBX/SIP trunking and VoLTE.”

Jefferies boosts its NVIDIA (NVDA, $196.50) price target to $230, applying a P/E of 29 to its three-year EPS estimate of $8.00. 

The firm says its field work indicates NVIDIA’s new Volta datacenter GPU solution keeps the company well ahead of the competition in neural network training. Jefferies sees Volta driving upside surprises over the next 18 to 24 months.

Looking ahead, Jefferies believes multi-year growth prospects in gaming, datacenter and automotive could push NVIDIA’s EPS to $13.00 in five years.

RBC Capital says the Apple (AAPL, $156.94) bull case is more powerful today than it was 90 days ago, as the investment focus shifts to ramping revenue and EPS growth over the next two years. 

The fiscal 2018 (Sept) consensus EPS estimate now stands at $11.09, up from $10.65 over the past 90 days ago.

While reports of soft iPhone 8 sales have recently weighed on the stock, the firm believes the iPhone X will generate solid demand and gross margin expansion tailwinds. 

RBC maintains its Apple price target of $180.

Shares of Imperva (IMPV, $44.60) this morning are up 6.5% following the company’s positive Q3 pre-announcement.

Revenue is now expected to come in at $83.5 million to $84 million (above the previous guidance range of $81 million to $83 million), with EPS of 29 cents to 32 cents (above the previous range of 22 cents to 26 cents).

Imperva, a provider of database and application security solutions, will release full Q3 results on November 8.

Stifel lifts its Intel (INTC, $40.33) price target to $46 from $41 ahead of the release of Q3 results next week. 

The firm is expecting a strong server upgrade cycle (representing the steepest ramp in 10 years) based on Intel’s new server CPU starting in Q3. Stifel thinks datacenter growth above 10% would be a positive catalyst for the stock.

Looking ahead, Stifel says Intel’s AI-related acquisitions (Mobileye, Nervana and Movidius) can start adding new growth markets. 

For more on Intel, see the October 2017 issue of Tech-Stock Prospector (TSP #188).

After rallying nearly 10% from the late September low of $931.75 to yesterday’s high of $1,022.31, Amazon (AMZN, $985.59) shares are taking a break. 

The 50-day moving average is trading sideways from $972.36. There’s short-term support at $980.10.

The 200-day moving average is trending upward from $929.99.

Drexel Hamilton reiterates its Apple (AAPL, $155.56) price target of $208 even after reports of supply chain order cuts for the iPhone 8/8+. 

The firm remains bullish on Apple ahead of the iPhone X product cycle, which kicks off next Friday with pre-orders. Drexel says many consumers in the U.S. are waiting for the iPhone X. 

The firm also points out that the iPhone 7/7+ is benefiting from incremental demand as consumers take advantage of the recent price cuts following the 8/8+ introduction.

Shares of Coupa Software (COUP, $35.66) are now consolidating around current levels following the rally from the late-September low of $30.15. The 50-day moving average is trending upward from $31.49.

There’s short-term resistance at $36.28 and support at $34.90. The post-IPO high of $37.72 was reached in June.

Morgan Stanley lowers its Electronic Arts (EA, $112.38) fiscal 2019 (March) EPS estimate by 8% to $5.36 (though it’s still above the current consensus of $5.06) and reduces its unit expectations for the untitled Star Wars action game (slated to debut in the upcoming fiscal year) by 1 million to 7 million following news of a delayed release. The firm trims its price target by $2 to $126. 

Shares of EA this morning are down 3%. In August, the stock hit a new all-time high at $122.79.

Craig-Hallum ups its PayPal (PYPL, $67.07) price target to $83 from $67 based on growth potential for Venmo. 

With PayPal shares last week hitting a new all-time high at $69.61, investors have begun to price in the company’s monetization strategy for Venmo. 

The firm cautions that PayPal is still testing the payment service. Venmo’s contribution to net revenue and earnings could swing based on several unknowns surrounding funding costs/merchant acceptance, says Craig-Hallum.

For more on PayPal, see TechStock Radar—October 6, 2017.

Mizuho raises its ServiceNow (NOW, $121.50) price target to $140 from $125 ahead of the release of Q3 results on October 25, saying it expects a beat-and-raise quarter. 

The firm believes ServiceNow is seeing sustained business momentum, with market share gains and deeper penetration within the customer base.

Mizuho raises its NVIDIA (NVDA, $195.27) price target to $220 from $180 based on strong underlying GPU gaming and cryptocurrency trends along with China datacenter wins. The firm says NVIDIA’s GPU pricing remains strong, with almost no inventory in the channel. Mizuho expects the automotive segment to be a tailwind in 2018.

For more on NVIDIA, see TechStock Radar—October 13, 2017.

OpCo remains positive on Nutanix (NTNX, $26.62), maintaining its price target of $34. The firm came away from meetings with management this week feeling more comfortable that overall market trends are stable. 

OpCo says competitive headwinds are largely unchanged, while Nutanix continues to build momentum with its OEM partners.

Nutanix shares have rallied 33% off of the September low of $20.02.

For more on Nutanix, see the October 2017 issue of Tech-Stock Prospector (TSP #188).

Needham raises its NVIDIA (NVDA,$192.50) price target to $250 from $200 based on growth potential in the datacenter, an addressable market estimated to be worth $21 billion to $35 billion over the next five years. The firm believes NVIDIA’s datacenter business during that period could outpace the gaming segment.

NVIDIA shares this morning hit a new all-time high at $193.60.

For more on NVIDIA, see the October 2017 issue of Tech-Stock Prospector (TSP #188).

Zendesk (ZEN, $31.20) shares this morning are up more than 6% after Piper Jaffray said its Q3 checks suggest that the company’s refocused efforts on medium-sized businesses are paying off in the form of close rates exceeding expectations. The firm raises its price target to $35 from $33.

Piper Jaffray’s research indicates Zendesk in the latest quarter saw an uptick in average deal sizes in the enterprise segment and that the velocity business was also strong. 

Zendesk shares today hit a new 52-week high at $31.45. The all-time high of $31.88 was reached in September 2016.

Rolling its valuation parameters forward to its 2018 estimates, Credit Suisse raises its Amazon (AMZN, $991) price target to $1,350 from $1,100. 

The firm remains upbeat on the Whole Foods acquisition, saying the real path for Amazon to create lasting shareholder value is through fulfillment and delivery via Prime Now. In contrast, most of the headlines have focused on Amazon making price cuts. 

The firm sees ample upside for Prime Now, pointing out that there is currently only a 50% overlap for Prime Now availability with Whole Foods locations (198 of the 393 zip codes). 

Morgan Stanley says results from a recent smartphone survey show Apple (AAPL, $155.95) iPhone retention and switcher rates have increased from the firm’s last check in April. As a result, Morgan Stanley lifts its estimate for iPhone shipments in North America.

The survey also revealed “surprisingly bullish” demand for the Apple Watch, says the firm.

Morgan Stanley raises its AAPL price target to $199 from $194.

SunTrust initiates Monolithic Power Systems (MPWR, $109.30) at ‘Buy’ with a price target of $132 based on new products and solid operating leverage. The firm believes Monolithic Power is in the early stages of multi-year structural growth and margin expansion. 

SunTrust says the company only penetrates about 1% of a $45-billion semiconductor market expected to benefit from innovations in automotive and motion control technologies. 

In the June 2016 issue of Tech-Stock Prospector (TSP #172), we wrote that Monolithic Power looked like an attractive M&A candidate thanks to the company’s high-margin power management business. At time, the stock was trading at just under $69. While no buyer ever emerged, Monolithic Power shares have trended upward since then, this morning hitting a new all-time high at $110.

OpCo starts coverage of Okta (OKTA, $28.11) at ‘Outperform’ with a price target of $32, saying the company’s identity and access management solutions can benefit customers beyond security. 

The firm looks for Okta to deliver sustained revenue growth above the 30% level over the next few years.

Okta went public in April at $17 a share, with the opening trade at $23.75.

Morgan Stanley upgrades Palo Alto Networks (PANW, $150.47) to ‘Overweight’ and raises its price target to $185 from $150, saying it sees building traction across the company’s portfolio of solutions. 

The firm sees room for valuation upside, as it views Palo Alto as one of the best-positioned vendors to execute on an integrated security platform story.

Symantec (SYMC, $32.70) shares this morning are off more than 3% on a Cowen downgrade. 

The firm cut its rating to ‘Underperform’ with a price target of $31 based on valuation and sluggish organic growth. 

Cowen believes the recent spike in Symantec shares following the disclosure of the Equifax breach is overdone. The stock on September 20 traded to a new 52-week high of $34.20, up 16% from the September 5 low of $29.45.

Goldman Sachs upgrades MuleSoft (MULE, $21.01), provider of an application integration platform, to ‘Buy’ and raises its price target to $26 from $24. 

The firm thinks the stock’s decline over the past three months (caused by softer than expected Q2 billings and the IPO lock-up expiration) creates a buying opportunity.

Goldman expects billings growth to accelerate in 2H’17.

Shares of Gigamon (GIMO, $41.03) this morning are down more than 5% following a Reuters report that said Elliott Management’s attempt to acquire the networking solutions company has hit a roadblock on price. 

Gigamon in the past few weeks rejected an Elliott offer because it came in below the company’s share price, according to the report.

Gigamon shares traded to a new all-time high of $61.25 last November. In early September, the stock hit a recent high of $47.55.

UBS says the Netflix (NFLX, $194.97) price increases announced yesterday would not have been implemented if subscriber trends were disappointing, which bolsters the firm’s confidence in the company’s growth outlook. UBS maintains its price target of $225.

Netflix shares this morning hit a new all-time high at $195.74.

BofA/Merrill boosts its PayPal (PYPL, $66.23) price target to $78 from $71 to reflect higher estimates. The firm continues to believe PayPal is the best-positioned company under coverage to capitalize on the global mix shift of payments to online/digital channels from offline.

PayPal shares this morning hit a new all-time high at $66.41.

For more on PayPal, see TechStock Radar—October 3, 2017.

Canaccord Genuity upgrades Microsoft (MSFT, $75) to ‘Buy’ and raises its price target to $86 from $76, saying investors are underestimating the company’s four “compelling” growth drivers—office productivity, gaming, marketing and Azure’s PaaS.

The firm believes continued expansion across these units positions Microsoft for a sustained period of accelerated growth, which should at least preserve the current valuation and potentially drive a bit of multiple expansion.

UBS hikes its Netflix (NFLX, $185.75) price target to $225 from $190 based on upside potential to Q3 guidance. The firm believes subscriber growth momentum from Q2 was sustained into the latest quarter, with broad-based year over year improvements across all markets. 

UBS says growth is being driven by the overall breadth of content on Netflix, streaming hitting critical mass in many international markets and strong marketing/tech execution. 

Barclays starts Electronic Arts (EA, $117.26) at ‘Overweight’ with a price target of $129, citing accelerating digital revenue growth and margin expansion opportunities.

For more on EA, see TechStock Radar—Sept 20, 2017.