NEW YORK (TheStreet) -- Shares of Carbonite (CARB) - Get Report were climbing 6.09% to $15.69 on heavy trading volume early-afternoon Tuesday as Oppenheimer lifted the stock's rating to "outperform" from "perform."
The firm has a $21 price target on shares of the Boston-based cloud software solutions company.
Oppenheimer sees "substantial upside" from current price levels due to Carbonite's valuation and fundamentals.
The company should generate additional cost savings from paring down duplicate EVault data centers, the firm added. Carbonite acquired EVault, a cloud backup company, from the data storage company Seagate Technology (STX) earlier this year.
Additionally, Oppenheimer said Carbonite management has become more stable in recent months, which should boost earnings in November.
More than 1 million of Carbonite's shares have changed hands so far today vs. its average volume of 325,233 shares per day.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
The team rates Carbonite as a Sell with a ratings score of D. The area that the team feels has been the company's primary weakness has been its poor profit margins.
You can view the full analysis from the report here: CARB