NEW YORK (TheStreet) -- Shares of Concur Technologies Inc. (CNQR) are up 10.95% to $112 in pre-market trade after it was reported that the developer of software that helps businesses manage travel expenses, has explored a sale and approached companies including SAP SE (SAP) to gauge their interest, sources told Bloomberg.
Concur is working with an investment bank on the sale and also approached Oracle Corp. (ORCL) , sources added. Oracle decided not to pursue a transaction, a source said.
Concur stock closed at $100.95 yesterday, giving the company a market value of about $5.8 billion.
The growth of cloud computing, which involves distributing software through the Internet, is eating into traditional software sales, pushing companies into acquisitions to fend off new competitors, Bloomberg noted.
TheStreet Ratings team rates CONCUR TECHNOLOGIES INC as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate CONCUR TECHNOLOGIES INC (CNQR) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow."