Oppenheimer Maintains Perform on Lender Processing Services (LPS)

Oppenheimer is out with its report today on Lender Processing Services LPS, maintaining Perform. In a note to clients, Oppenheimer writes, "We appreciate LPS's strong execution and market share gains exhibited in recent quarters. We also understand that the level of seriously delinquent loans (60/90+ day delinquencies) and foreclosure inventory remain extraordinarily high and continue to age; and that LPS' Default revenue opportunity hasn't appreciably changed. However, the slowdown in FC starts that we have seen since the beginning of the year (for various reasons), as well as the decline in seriously delinquent loans provides us with limited visibility to forecast the flow/timing of problem loans into foreclosure. Accordingly, we are staying on the sidelines for now." Shares of LPS closed yesterday at $31.80.