Piper Jaffray Neutral On VisionChina Media Inc. (VISN)

Piper Jaffray has a Neutral rating and a $5 price target on shares of VisionChina Media Inc. VISN.

In a note to clients, Piper Jaffray writes, "VisionChina reported 4Q10 revenue and pro forma EPS of $44.9M/$0.05 versus
our estimates of $42.7M/$0.03 and consensus of $42.9M/$0.03. While 1Q11 and full year 2011 revenue guidance was mostly consistent with our estimates, top-line growth will likely come with the help of more aggressive marketing efforts and
sales force incentives than we had anticipated, resulting in our 2011 pro forma EPS reduction to $0.14 from $0.21. While detailed 2011 guidance provides investors with an opportunity to better assess growth prospects for the company, concerns
about pricing weakness keep us on the sidelines for now (with inventory expected to remain relatively flat, guidance has built in lofty utilization and pricing power expectations). We maintain our Neutral rating and $5 target."

Shares of VISN lost 2 cents yesterday to close at $4.30.