Goldman Sachs Remains Neutral on Higher One Holdings Despite Selloff (ONE)

Despite losing 16% last week, Goldman Sachs maintained its Neutral rating on shares of Higher One Holdings

today. Higher One announced second quarter earnings on August 12. Goldman Sachs sees the recent selloff as overdone, and not based on fundamentals. Analysts "believe that the Higher One model remains intact offering positive exposure to high payments industry growth (average revenue growth of 35.5% through 2011E-2012E)." Analysts at Goldman attribute part of the selloff to the "view that the 2Q10 "beat and raise" was a bit smaller than expected—and was accompanied by modestly lukewarm commentary on 2H10." Higher One Holdings, Inc. is a provider of technology and payment services to the higher education industry. Shares are 3.07% higher Tuesday, to $11.75.