Jefferies Sees Upside in Broadsoft (BSFT)

Jefferies maintains its Buy rating on Broadsoft (NASDAQ: BSFT) following its review of BSFT stock.

In a note to clients, Jefferies writes, "We do not expect any incremental investments that would divert the company from continually showing progress toward its long-term operating margin target of 23-25%."

Valuation is 4.1x EV/2011 sales relative to a peer group average of 5.9x calculated on an EV/ssales basis. Jefferies is increasing their price target from $12.00 to $23.00.

BSFT closed Friday at $19.16.