UPDATE: Deutsche Bank Upgrades Salesforce.com, Expects Billings To Grow 25 To 30 Percent

Salesforce.com (NYSE: CRM) was upgraded to Buy from Hold Monday morning by Deutsche Bank. The price target was maintained at $65.

Reasons for the neutral rating included high expectations for first quarter earnings, the new president changing the sales force and core business slowing. However, with the stock down 20 percent since its peak ($66.22), the analysts at Deutsche Bank are more comfortable putting a Buy rating on the company.

Regarding the core SFA business, the note states, “Over the last few weeks, as SFDC has been closing its April 2014 quarter, we checked in with several sources to get a better feel for this business. The consensus was that it remains healthy.”

The note goes on to state they expect billings to grow 25 to 30 percent.

The $65 price target is the result of a 6.4 times enterprise value to revenue multiple. Shares are currently trading at 5.2 times EV to 2015 revenue estimates.

Shares are up 2.27 percent on the news to $53.67.