Endava price target lowered to $50 from $70 at Needham

Needham lowered the firm’s price target on Endava to $50 from $70 and keeps a Buy rating on the shares. The company’s Q2 results came in mixed as revenue was softer than expected, though SG&A leverage combined with favorable below-the-line items helped to drive a bottom line beat, the analyst tells investors in a research note. Endava’s revenue weakness is due to project delays and the pipeline converting into revenue at a slower rate, particularly in the payments/banking/financial services verticals, the firm added.