Piper Jaffray Lowering Estimates On MedAssets Following Earnings (MDAS)

Piper Jaffray has an Underweight rating and a $15 price target on shares of MedAssets, Inc. MDAS after it reported earnings. In a note to investors, Piper Jaffray writes, "We believe there remains room for improvement at MDAS. Reported numbers were mostly in-line, but higher purchase accounting adjustments lifted Q1 EPS but caused Q2 estimates to go lower, with the full-year number held steady. Minimal sequential growth in backlog tells us that they are not seeing growth, and poor quality of earnings and an overly leveraged model make us cautious on the stock. Lowering estimates, maintain Underweight rating and $15 price target." Shares of MDAS lost 7 cents yesterday to close at $16.00, a loss of 0.44%.