Want A Hospital Security Play? Check Out Imprivata

In a report published Monday, Stifel analyst Gur Talpaz initiated coverage of

with a Buy rating and a price target of $24. Analyst Gur Talpaz mentioned that Imprivata was a leading player within the evolving Identity and Access Management [IAM] Security market. The company's healthcare specific focus gave it an edge over other vendors. Talpaz said that the digitization of hospital systems had resulted in significant security issues that need to be addressed. "We like Imprivata's solution as it demonstrates the two key factors we see behind successful security solutions: first and foremost it delivers an improvement to data security by requiring strong authentication; and second, it delivers a measurable ROI by enabling doctors and caregivers to more quickly access critical systems." Imprivata's solution offered a combination of improved security and efficiency that should help address and fill the security gaps created by push to the EMR and other electronic healthcare systems. The company appeared poised to benefit from both security concerns and the efficient deployment of their systems. In the report Stifel noted, "In addition, we see current valuation as compelling, given strong historical growth and sustainable business drivers in a market with sizable greenfield opportunities."