UPDATE: Piper Jaffray Initiates Millennial Media at Neutral on Valuation

Piper Jaffray initiated coverage on Millennial Media MM with a Neutral rating and an $18 price target. Piper Jaffray said, "A first mover within mobile advertising, MM is well positioned as the top "independent" platform with scale to capitalize on an estimated $10B tailwind of ad dollars directed to mobile over the next 4 years. The stock's ~40% appreciation in the last 60 days, aided in part by mobile scarcity value and acquisition speculation, has brought valuation parity with long-term market growth estimates, in our view. With modest upside to our $18 target, we look for a more timely entry point and/or data points indicating Millennial can grow in excess of mobile ad market growth expectations." Millennial Media closed at $16.03 on Wednesday.