UPDATE: Canaccord Genuity Initiates Millennial Media with Buy, $18 PT on Strong Sector Tailwind

Canaccord Genuity initiates its coverage on Millennial Media MM with a rating of Buy and a price target of $18. Canaccord Genuity comments, "We believe mobile advertising will experience very rapid growth for the next several years, and MM should benefit as one of the market leaders. Our top-down forecast points to potential revenue upside relative to our current estimates of as much as 40% over time, and further expansion into EMEA and APAC could also add to upside. …We expect competitive intensity may soften this year as Apple's iAd loses share, only to intensify next year as innovative players gain funding. Long term, we envision a market with fewer players (2-3 mobile ad networks also offering agency, targeting, and analytics services), and believe Millennial should be one of these survivors." MM closed at $12.79 on Monday.