Needham analyst Mayank Tandon lowered his price target on Ellie Mae to $85 after its "mixed" Q3 results showed a miss on revenue but a beat on EBITDA and EPS. The analyst notes that the company's market share gains could not offset the industry headwinds, with tight housing inventories and a "spike" in mortgage rates leading to its FY18 guidance cut and a cautious outlook for the first half of FY19. Tandon keeps his Buy rating on Ellie Mae given the more attractive valuation after its tempered outlook of about 4-times enterprise value to his expected FY19 sales.