E2open price target lowered to $5 from $6 at BofA

BofA lowered the firm’s price target on E2open to $5 from $6 and keeps an Underperform rating on the shares after the company reported fiscal Q2 organic SaaS revenue growth of 1.9% year-over-year, a deceleration from 4.4% last quarter. What was “more troubling” was that Q3 guidance implies a 2.5% year-over-year decline at the midpoint and management lowered the midpoint of FY24 SaaS growth guidance to 0.2% from 3.2%, the analyst tells investors. E2open shares are unlikely to outperform given flat SaaS revenue, the analyst argues.