Benchmark analyst Mark Schappel raised his price target on Manhattan Associates shares to $69 from $55 as he believes the company is poised to benefit from a recovery in the retail sector, a bottoming in its services business, a recharged product line, meaningful investments in sales and its $50M share buyback program. Despite the stock being up 26% since mid-June, Schappel thinks the shares can continue to work, he tells investors. He maintains a Buy rating on Manhattan Associates.

DA Davidson upgraded Manhattan Associates to Buy from Neutral with a price target of $240, up from $220. The stock correction this year is overdone, especially following a quarter where the company exceeded expectations and raised guidance, the analyst tells investors in a research note. The firm says the shares now trade below its three-year bottom quartile forward price-to-earnings ratio, "an attractive entry for buyers today." The firm believes Manhattan is a "definitive" return on invested capital leader and "deserves more recognition from the market." Manhattan "generates pre-tax return on invested capital of 135%, a number we had to triple-check and sanity-check with management," writes DA Davidson.