Harte-Hanks Reports Slow Results But Momentum Continues
JP Morgan has published a research report for Hart-Hanks, Inc. (NYSE: HHS) following the company's investor day.
In the report, JP Morgan writes "We continue to have confidence in the recovery of both the DM and Shopper businesses, which should in turn deliver positive operating leverage (particularly in Shoppers). In addition, Harte Hanks maintains a healthy balance sheet. with all-time-high levels of cash on hand supported by attractive FCF ($80m in 2011E) – the company has historically been aggressive in share buybacks, which we believe may resume in 2011. As mentioned above, we acknowledge that substantial improvement across the company may not be reflected for several quarters, thus we recommend shares to the longer term holder."
JP Morgan reiterates its Overweight rating and has raised the price target from $16 to $17.
Harte-Hanks, Inc. closed yesterday at $11.60.
