Chordiant Software "strong buy," target price reduced

07/26/06 - JMP Securities

NEW YORK, July 26 (newratings.com) - Analysts at JMP Securities maintain their "strong buy" rating on Chordiant Software Inc (CHRD), while reducing their estimates for the company. The target price has been reduced from $4.25 to $3.50.

In a research note published yesterday, the analysts mention that the company is conducting an independent review of its historical stock option grant practices and related accounting procedures. Chordiant Software is expected to witness a rise in its general and administrative expenses on account of the review, JMP Securities adds. The non-GAAP EPS estimates for FY06 and FY07 have been reduced from $0.02 to $0.01 and from $0.14 to $0.12, respectively.