UPDATE: D.A. Davidson Initiates Coverage on Evolving Systems as Dynamic SIM Allocation Orders are Poised to Increase

In a report published Wednesday, D.A. Davidson & Co. analyst Donna Jaegers initiated coverage on Evolving Systems EVOL with a Buy rating and $12.00 price target. In the report, D.A. Davidson & Co. noted, “About 70% of the world's wireless subscribers use prepaid plans, with 95% in India and 99% in Africa. We think that as cheaper smartphone handsets and the roll-out of LTE networks increase competition for customers in the developing world, EVOL's Activation and Dynamic SIM products are well positioned to gain more traction with wireless carriers. With orders from MTN Group and another Mid-Eastern carrier announced in Q3, and with a presence in several large developing world carriers, we expect EVOL to win more orders in Latin America, Africa, India, and China in the next two years.” Evolving Systems closed on Tuesday at $9.80.