In a report released today, Tim Klasell from Northland Securities maintained a Buy rating on Zix Corporation (ZIXI), with a price target of $10. The company’s shares closed yesterday at $10.42, close to its 52-week high of $11.15.
Klasell wrote:
“We believe DeliverySlip is doing <$10mn in annual revenue before any deferred revenue writedowns. Most of DeliverySlip's customers use its encryption product – and 90% of are OEM'd through AppRiver which was acquired earlier this year. We expect DeliverySlip's encryption will be supported and, being portal based, has some potential technology uses in the core Zix encryption portfolio – but Zix's product line will lead going forward. What we think this does is make the planned migration of AppRiver's customer base over to Zix's core product easier as migration will not be as financially motivated and, as a division of Zix, DeliverySlip will not be fighting to stop the process."
According to TipRanks.com, Klasell is a 5-star analyst with an average return of 21.1% and a 70.4% success rate. Klasell covers the Technology sector, focusing on stocks such as ServiceSource International Inc, Tyler Technologies, and Proofpoint Inc.
The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Zix Corporation with a $12 average price target, representing a 15.2% upside. In a report issued on May 3, Craig-Hallum also maintained a Buy rating on the stock with a $14 price target.
See today’s analyst top recommended stocks >>
Zix Corporation’s market cap is currently $564.6M and has a P/E ratio of 125.85. The company has a Price to Book ratio of 9.26.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
Zix Corp. provides an email encryption and security solutions. Its services enable the use of secure email for sensitive information exchange primarily in the healthcare, financial services, insurance and government sectors. The company products include Zixencrypt, Zixprotech, Zixmail, Zixarchive and Zixone.
