Cogint's Shares Come Under Pressure, But Its Fundamentals Remain Positive

Although Cogint, Inc. COGT shares have come under meaningful pressure, declining 35 percent from its recent highs following the up-listing of the stock to NASDAQ, Barrington’s James C. Goss believes the “fundamental story continues to be positive.”

Goss maintains an Outperform rating on the company with a price target of $7.

Product Potential

“While the idiCore product is in the early stages, the company recently announced the addition of DMV data to the product, adding a further degree of functionality and resources to form a complete profile of consumers, increasing the potential value proposition to potential customers,” the analyst mentioned.

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In this context and given that the fundamental story is intact, Goss believes that the current stock valuation presents an attractive buying opportunity.

The analyst noted that the idiCore product was still in the early stages of its rollout to customers and was not as yet a meaningful contributor to Cogint’s financial performance.

“Fluent provides opportunity to apply data fusion capabilities to a new application in consumer products advertising, with meaningful current revenues and cash flow, but at more moderate potential for further margin gains,” Goss stated

Earnings Will Reinforce The Story

The analyst expects the earnings report in November to provide support for the stock. Cogint current expects to announce its results in the first week of November.

Goss expects the company to report robust revenue trends from Fluent, along with sequential improvement in profitability.

At last check, Cogint was down 3.80 percent at $3.80.

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