Brean Capital Sees Significant Market Opportunity For Park City Group, Inc.

In a report published Friday, Brean Capital analyst Todd Mitchell reiterated a Buy rating and $19.00 price target on

. In the report, Brean Capital noted, “Park City Group is a supply chain management solutions provider that was founded to help retailers more efficiently manage inventories which we believe is uniquely well positioned to capitalize on changes in regulations related to the Food Safety Modernization Act (FSMA). The FSMA, which was passed by Congress and signed by the Executive Branch in 2011, is in the process of being codified into laws which will begin to be enforced in August of 2015. These new regulations will hold food retailers and wholesalers liable for insuring the safety of their supply chain through enforcement mechanisms similar to Sarbanes-Oxley. "We believe, Park City Group, through its relationship with ReposiTrak, an independent food safety consultant, offers food retailers and wholesalers the only currently available comprehensive solution for compliance with the FSMA. As a result, we expect ReposiTrak to enter a period of hyper-growth as the industry responds to this new regulatory framework. Park City Group has what amounts to a call option on ReposiTrak, which we believe should allow it to acquire this business at a valuation which creates significant value for the shareholders of PCYG. As a result, we reiterate our Buy rating and $19 target price on PCYG.” Park City Group, Inc. closed on Thursday at $9.85.