UPDATE: Ascendiant Capital Upgrades PhotoMedex to Strong Buy on Attractive Entry Point

Ascendiant Capital raised its rating on PhotoMedex

from Buy to Strong Buy with a reiterated $18 price target. Ascendiant Capital noted, "Revenue was $56.7 MM (+63% yoy), which was below our and consensus estimates of $58.0 MM and $58.7 MM respectively. Pro forma revenue growth was +32%. GAAP EPS was $0.35, significantly higher than the consensus estimate of $0.28 and our estimate of $0.29. … In our opinion, the recent weakness in the stock has created an attractive entry point. Hence, we are upgrading our rating to Strong Buy. Our 12-month price target of $18 represents a target forward EV/EBITDAS ratio of 6.8x our FY13 estimate of $49.4 MM." PhotoMedex closed at $12.06 on Wednesday.