Jefferies raises target price for Softcat

Analysts at Jefferies reiterated their 'buy' recommendation on shares of Softcat, following the latest trading update out of the IT infrastructure and services provider.

In it the company pointed to unchanged market conditions during its third quarter, which the analysts said were all that was needed to deliver fiscal year guidance.

Hence, their unchanged estimates, although rolling forward their discounted cash flow model forward led them to revise their target price from 1,800.0p to 1,950.0p.

Nonetheless, management's update also implied that the green shoots of an end-market recovery remained just that - green shoots.