PS - Pluralsight downgraded as Needham questions valuation of company's sale to Vista Equity Partners

Needham downgrades Pluralsight (PS) from Buy to Hold and removes its $25 price target after the company announced agreed to a $3.5B sale to Vista Equity Partners.Needham: "We are big believers the PS platform is a very unique and highly strategic asset, leading us to view this acquisition price as low."The firm sees the deal valuation as "good for Vista, less so for PS shareholders" but doesn't expect to see a superior offer..Raymond James (Outperform, $22 price target) also doesn't expect a higher offer to step forward and says investors "may be surprised by the premium/takeout multiple at 8x sales, especially with similar growth assets trading at a two-turn premium."Pluralsight shares are up 5.9% to $20.10.Previously: Pluralsight agrees to $3.5B sale to private-equity firm Vista Equity Partners (updated) (Dec. 13 2020)

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Pluralsight downgraded as Needham questions valuation of company's sale to Vista Equity Partners