JAMF: Pending $13.05 Buyout Will Bring Ownership Change and Reduce Uncertainty

Analysts have recently revised Jamf Holding’s price target upward to $13 per share, citing the company’s agreement to be acquired by Francisco Partners and the resulting clarity on its valuation outlook.

Analyst Commentary

Following the acquisition agreement by Francisco Partners, analysts have provided updated perspectives on Jamf Holding's valuation, execution, and growth outlook. While the consensus reflects the near-term certainty provided by the takeout bid, opinions diverge regarding the longer-term implications for the company and its shareholders.

• Several analysts have revised their price targets to align with the $13.05 acquisition price. This provides clarity and reduces uncertainty in the company’s valuation.
• Bullish analysts believe that the all-cash transaction offers shareholders a reasonable exit point, especially considering recent headwinds and competition in the sector.
• The deal premium is viewed as a fair reflection of Jamf Holding’s current business execution and market positioning.
• Raising price targets from prior lower levels demonstrates some renewed optimism given the recent acquisition premium.

• Several analysts have downgraded Jamf Holding to a neutral stance following the acquisition news, indicating limited upside potential beyond the offer price.
• Concerns remain regarding Jamf's long-term growth prospects, with some analysts citing increased competitive pressures as a risk to future expansion.
• The consensus is that alternative bids are unlikely to materialize. This may cap further valuation gains for existing shareholders.
• Some analysts have even lowered their prior price targets, reflecting continued caution about Jamf’s ability to sustain growth under the current business environment.

What's in the News

• Francisco Partners is nearing a deal to acquire Jamf, and Vista Equity Partners is expected to exit its 34% stake as part of the transaction. The announcement could come as soon as Wednesday, according to Reuters. (Reuters)
• Piper Sandler downgraded Jamf Holding to Neutral from Overweight and updated its price target to $13.05 after Jamf agreed to be acquired by Francisco Partners in an all-cash deal. (Piper Sandler)
• Jamf has been exploring a sale due to stock price weakness, working with Citigroup and fielding offers from various suitors in recent months. Vista Equity Partners is anticipated to exit during the sale. (Reuters)
• Jamf announced the beta release of AI Analysis for Jamf Executive Threat Protection, an AI-powered feature designed to simplify and accelerate mobile forensic analysis for security teams. (Jamf)
• Jamf launched new updates to its Apple device management and security platform at its annual user conference, including an expanded API ecosystem, AI tools, and automated software updates. (Jamf)

Valuation Changes

• Consensus Fair Value remains stable at $12.76. This indicates little change following the acquisition announcement.
• Discount Rate has decreased slightly from 9.76% to 9.70%. This reflects modestly reduced risk perceptions.
• Revenue Growth Projections are unchanged at 9.47%. This suggests consistent expectations for Jamf's top-line performance.
• Net Profit Margin has edged down from 12.56% to 12.38%. This points to a minor reduction in profitability forecasts.
• Future P/E Ratio is marginally lower, moving from 21.94x to 21.78x. This signals a slightly less optimistic outlook on future earnings multiples.