) to market outperform from strong buy.
Analyst Patrick Snell is concerned the B2B company will
not meet his Q1 revenue and EPS estimates. He cites indications that SAP AG and Commerce One may restructure the revenue share component of their joint
sales partnership. He notes a more conservative outlook amid murky
IT spending environment. Snell says recent management comments indicate that
more than 50% of Q1 software revenues remain unbooked, which is not
atypical for a software company. However, Commerce One's ability to execute
is challenged by the corporation's recent propensity to delay IT
expenditures until visibility improves.