UPDATE: Stifel Upgrades WebMD Health On Possible Upside
In a report published Wednesday, Stifel analyst Steven Rubis upgraded the rating on WebMD Health (NASDAQ: WBMD) from Hold to Buy, and named a $60.00 price target.
In the report, Stifel noted, “Our upgrade stems from strong industry macro trends and our view that current estimates for 3Q14 and 4Q14 advertising revenue growth are likely conservative. Previously, we estimated 8% y/y and 5% y/y advertising growth in 3Q14 and 4Q14, respectively, versus consensus growth of 10.3% y/y and 8.0% y/y, respectively. We now forecast 10% y/y advertising growth in both 3Q14 and 4Q14.
"Our current expectation is that 8% y/y advertising growth in 4Q14 will prove conservative should the company report a solid 2Q14 and 3Q14. We believe strong industry macro trends, as well as stability in WebMD specific ad trends, suggests the company will likely report solid 2Q14 results. We look to the company's 3Q14 guidance and possible upward revisions to FY14 guidance on its 2Q14 conference call as further support.”
WebMD Health closed on Tuesday at $49.85.
Latest Ratings for WBMD
|Oct 2016||SunTrust Robinson Humphrey||Maintains||Buy|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.