STOCKS NEWS EUROPE-Autonomy up on upgrade hopes

Shares in Autonomy Corp (AUTN.L) rise 2.5 percent to 1,543 pence, after earlier reaching an eight-year high of 1,573 pence, as analysts expect the search-software group to continue to nudge up guidance.

"With the Interwoven deal in the bag, there's at the very least a chance of upgrading again the cost-savings target," says Noble analyst Arun George, who moved to a positive stance on the company in March.

George says Autonomy has a track record in quickly integrating deals and beating its synergy targets -- by at least 40 percent for its Verity and Zantaz acquisitions.

"There's an expectation at Q2 to see another upgrade on the top line as well as on the bottom line," he says. "With Interwoven, we would expect organic growth to be driven by bigger deals, especially on the legal document side."

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