Piper Jaffray Comments On Red Hat Survey

According to Piper Jaffray, 46 key Red Hat (NYSE: RHT) partners were surveyed to assess the early impact of Attachmate's proposed acquisition of Novell.

Piper Jaffray reported that 44% indicate that businesses will spend more on Red Hat due to uncertainty surrounding Novell's future as part of Attachmate, while only 4% expect the opposite. “Contacts cite the "turmoil" and "uncertainty" of the Novell acquisition as it "leaves Red Hat as the only public, US-based company primarily focused on open source, which will truly set them apart as the only go-to vendor in the space." Fundamentals remain very strong for RHT, in our view. Reiterate Overweight, $57 target.”

Red Hat closed yesterday at $45.11.