Oppenheimer Maintains Outperform on Liquidity Services after 1Q Earnings

Oppenheimer has published a research report on Liquidity Services (NASDAQ: LQDT) after the company reported 1Q earnings that exceeded estimates.

In the report, Oppenheimer writes, "Before the open, LQDT reported stronger than expected F1Q:12 (Dec.) results. GMV increased 15% y/y on PF basis, 5% above our estimate and 9% ahead of guidance. Military surplus, scrap & capital assets were higher than expected, while retail was a bit lower. EBITDA increased 105% y/y, 40% above our estimate, 35% above the Street and 34% above guidance. Margin upside was driven by higher GMV and mix, driving gross margins. Other opex was in line. F2Q guidance below Opco/Street on margins, but company raised FY12 GMV, EBITDA and EPS guidance by 1%, 6%, and 5%, respectively, suggesting upside to estimates."

Oppenheimer maintains its Outperform rating and $43 price target on Liquidity Services, which is currently trading down $1.68 from yesterday's $34.51 closing price.