Shares of software maker Autodesk (Nasdaq: ADSK) rallied Tuesday as Goldman Sachs upgraded the firm from a neutral rating to a buy.
Analyst Sasa Zorovic told clients in a research note this morning that there was evidence of strong sales momentum in the current quarter. Goldman also believes that there will not be an overall economic slowdown to fear.
We are increasingly comfortable the company may deliver top-line performance at the high end of guidance for this quarter, with the momentum carrying over into subsequent quarters, Zorovic said.
Goldman increased its estimates for Autodesk, raising its 12-month price target to $44 from $40.
Shares of the design software firm rose $1.25 in afternoon trading, gaining 3.2 percent to $40.09 on the Nasdaq Stock Market.