VASCO Data Security gets an Upgrade

ThinkEquity upgrades VASCO Data Security Intl., Inc.'s (NASDAQ:VDSI) today from "Source of Funds" to "Buy". They set a price target $30 and the stock is up 12% since the Masters wrote: VASCO Data Security (VDSI) and the 50% Drop.

We thought this stock was trading at a discount then and now Wall Street is all over it.

Shares of VDSI are now trading at $23.55, the Masters spotted VDSI back on the 21st at $21 a share. ThinkEquity believes the risk in VASCO shares is reflected in the current valuation.

theStockMasters.com - Worth your time to readJust to recap since Oct 24th, VDSI shares had fallen 50% (before the 12% move) after missing Q3 analyst's estimates by 2 cents. VASCO Data revenues for Q3 2007 increased 60% over Q3 2006. Their operating income increased 66% over Q3 2006 and the order backlog for Q4 at $33.4 million is best in the Company's history. VASCO reaffirmed their full-year 2007 guidance for revenue growth, gross margins and operating margins on last months earnings call.

On November 19th, Friedman Billings upgraded VDSI to "Outperform" and set a $33 price target. 

Friedman said they were cautious on VASCO heading into 3Q07, but they believe the precipitous decline in shares over the last few weeks is now overdone and represents a buying opportunity. Friedman says recent checks have been positive, as they have not sensed that the malaise from the credit markets/financials has negatively impacted VDSI's business to date.

Read more from the Masters, new today:

TheStockmasters.com - Leading Business News on Wall Street with stock tips and market analysis.

Dell's $10 billion share buyback - It's an all out Buy

Phillips-Van Heusen Corp. (NYSE:PVH) down 12% and near new low


TheStockmasters.com - Leading Business News on Wall Street with stock tips and market analysis.The StockMasters Master Picks Newsletter has a 15.29% Positive return since our inception in October 2006. The Average duration for our stock picks is 3.61 months and we have the track record to prove it (click here to view Master Picks track record). We sell it for only $45 a year.

Our newsletter is a team effort and each stock pick is carefully thought through before you get the final buy or sell recommendation. Enjoy our daily articles and thank you for reading.

 

Post new comment

  • Web page addresses and e-mail addresses turn into links automatically.
  • Allowed HTML tags: <a> <em> <strong> <cite> <code> <ul> <ol> <li> <dl> <dt> <dd>
  • Lines and paragraphs break automatically.

More information about formatting options

Image CAPTCHA
Enter the characters shown in the image.