Red Hat (RHT) received a price-target increase Wednesday from RBC Capital Markets ahead of the open-source-software company’s fiscal Q2 report expected Sept. 25.

The new price target is $121 per share, up from $106. The boost brings the target above the stock’s Tuesday closing price of $107.14 from below it. RBC said the price-target increase comes amid expectations for estimates to move higher after the Q2 report. The firm kept its investment rating on the stock at outperform.

When Red Hat releases its results Monday for its fiscal Q2 ended in August, analysts polled by Capital IQ expect it report adjusted earnings per share of $0.67 on average, up from $0.55 a year earlier. The analysts’ mean estimate for revenue is $699.6 million, up from the year-earlier period’s $599.8 million.

In a note to clients, RBC said for Red Hat’s Q2, “we would expect the momentum from the past few quarters to continue based on checks that felt similar” to Q1. “In addition to stable growth from core [Red Hat Enterprise Linux], we would expect another quarter of strong momentum from emerging products such as OpenStack and OpenShift,” the firm said.

RBC also said it expects Red Hat to reach a $200 million annualized run rate from its Certified Cloud & Service Provider program this quarter, which would be up from $100 million in Q4 of fiscal 2016, as the firm said “continued momentum in public-cloud usage of Red Hat is another long-term positive.”

The firm said it anticipates billings will continue to be the most-watched metric in the report, “as it has been a source of strength in previous quarters with two straight quarters of 20%+ growth.”

RBC said it is expecting slight upside to consensus billings expectations of $660 million, reflecting growth of 15% year over year and 4.6% quarter over quarter, vs. the three-year averages of 15% and 8.1%, respectively. RBC also said it expects revenue to come in slightly above the Street view.

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