UPDATE: Stifel Initiates Coverage on RetailMeNot with Buy Rating, $38 PT on Market Leader Position

In a report published Tuesday, Stifel analyst Jordan Rohan initiated coverage on

with a Buy rating and $38.00 price target. In the report, Stifel noted, “RetailMeNot operates the world's largest digital coupon marketplace, facilitating over 20mn transactions last year. The company delivers value both to consumers through retail discounts and to retailers by increasing conversion rate and average order value. Retailers pay referral commissions only when RetailMeNot generates sales, a true bottom-of-funnel media spend. Our positive stance on RetailMeNot reflects the company's leadership position, the large global addressable market, and the attractive margin and free cash flow profile. We are initiating coverage with a Buy rating and $38 target price.” RetailMeNot closed on Monday at $32.28.