UPDATE: Citigroup Upgrades OpenTable
On Thursday, Citigroup upgraded shares of OpenTable (NASDAQ: OPEN) from Neutral to Buy and raised the price target from $74 to $90.
Analyst Mark May sees an increase in seated diners and restaurants, which “point to slight upside to 1Q14 forecasts and to continued >30% Y/Y growth in seated diners.”
Innovation in tech and products as well as increased marketing could “enhance” near-to-mid-term growth, said May.
The analyst feels “the market under-appreciates the asset value of OpenTable in the context of the secular growth in mobile and local marketing, especially relative to comps like Yelp.”
Shares of OpenTable have retreated from the $85 level which was hit in the middle of March. The analyst views the pullback as an “attractive entry point.”
The stock is up 2.1 percent to $78.67 in Thursday's trading session. May's $90 price target is 14 percent above current levels.
Latest Ratings for OPEN
|May 2014||Bank of America||Upgrades||Neutral||Buy|
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.