PPDA News Dutton Associates Announces Investment Opinion: Pipeline Data Rating Maintained At Strong Buy by Dutton Associates
EL DORADO HILLS, Calif.--(BUSINESS WIRE)--Dutton Associates continues its coverage of Pipeline Data, Inc.
(OTCBB:PPDA) maintaining a Strong Buy rating and a price target of
$2.00. The research report by Dutton senior analyst David Riedel is
available at www.duttonassociates.com
as well as from First Call, Bloomberg, Zacks, Reuters, Knobias, and
other leading financial portals.
Pipeline Data is a financial services company specializing in providing
systems and services for the credit card transaction processing industry
in both traditional card-present transactions and in card-not-present
transactions. Pipeline Data has spent the past three years building to
make itself into a significant player in credit card transaction
processing. Counting recently announced and intended acquisitions, the
Company’s portfolio includes 40,000 merchant
accounts. In the quarter ended September 30, 2006, the gross profit
margin increased by 171% and EBITDA for the same period grew by 106%.
Net profit of $(304,708) was impacted by non-cash and one-time expenses.
Based on the valuation for similar payment processing companies, we
estimate fair value for the shares at $2.00 (19x 2007 estimated EPS).
This would be a 40% increase from the current share price, which
supports our Strong Buy rating.
About Dutton Associates
Dutton Associates is one of the largest independent investment research
firms in the U.S. Its 31 senior analysts are primarily CFAs and have
expertise in many industries. Dutton Associates provides continuing
analyst coverage of over 140 enrolled companies, and its research,
estimates, and ratings are carried in all the major databases serving
institutions and online investors.
The cost of enrollment in our one-year continuing research program is US
$35,000 prepaid for 4 Research Reports, typically published quarterly,
and requisite Research Notes. Dutton Associates received $33,000 from
the Company for 4 Research Reports with coverage commencing on
1/25/2005, and does not accept payment of our fees in company stock. Our
principals and analysts are prohibited from owning or trading in
securities of covered companies. The views expressed in this research
report accurately reflect the analyst's personal views about the subject
securities or issuer. Neither the analyst's compensation nor the
compensation received by us is in any way related to the specific
ratings or views contained in this research report or note. Please read
full disclosures and analyst background at www.duttonassociates.com
before investing.
