UPDATE: Deutsche Bank Raises PT on LifeLock Following Acquisition of Lemon

In a report published Monday, Deutsche Bank analyst Nandan Amladi reiterated a Buy rating on LifeLock (NYSE: LOCK), and raised the price target from $20.00 to $22.00.

In the report, Deutsche Bank noted, “LOCK acquired Lemon Inc. last week for $42.6m in cash, plus a three-year period during which equity-based retention incentives may be issued. We view this acquisition expanding LOCK's addressable market segments and enriching its network with a new set of consumer-facing transactional data. While the price paid on a revenue multiple of roughly 20x seems steep, we believe LOCK gains a significant time-to-market advantage. We update our model and reiterate our Buy rating, raising our PT to $22 on an improved growth profile.”

LifeLock closed on Friday at $16.00.