 announced a six-year contract with a major European asset manager on Monday.){kind=link}
Cloud-based analytics company StatPro (LON:SOG) announced a six-year contract with a major European asset manager on Monday, leading Panmure Gordon to reiterate their ‘buy’ rating on the stock.
StatPro is an AIM-listed company, providing cloud-based portfolio analytics and asset pricing services for the global asset management industry. It announced a new six-year contract with a ‘leading’ European asset manager on Monday, for a minimum value of approximately €3 million.
The contract is an extension of an existing agreement to six years and includes an uplift in conversion value as the asset manager is converting from StatPro Seven to the Group’s cloud based product StatPro Revolution. It also makes use of the recently launched new module, StatPro Revolution Performance.
The client is expected to go live with over 400 portfolios on the StatPro Revolution platform by the end of March 2017.
Financial analysts Panmure Gordon reiterated their buy rating on the stock in a research note on Monday morning. Analyst Sanjay Jha commented:
“This is another example of an existing customer of StatPro Seven committing to a longer term and more valuable contract as it migrates to StatPro Revolution, which, in this case, will also include the game-changing StatPro Revolution Performance launched in September 2016. Such contract wins continue to underpin our forecast for revenue and profit growth in 2017 and 2018.”
The group reiterated their buy rating on the stock, which has a target price of 159p.
Justin Wheatley, StatPro Group’s CEO, said the new contract was “an endorsement of our cloud strategy to provide our existing customers with the significantly enhanced capabilities of StatPro Revolution – it enables us to get an uplift in revenue and to lengthen our contract terms.”
StatPro Group’s shares fell in early trading on Monday morning, currently down 1.16 percent at 85.00 (0835GMT).