The brokerage firm thinks the shares are attractively priced
Citi initiated coverage on Cision Ltd (NYSE:CISN) with a "buy" rating and $21 price target -- a more than 36% premium to last night's close. The brokerage firm said the media software firm is attractively valued, and believes growth prospects on the "shift to 'earned' media" are not priced in.
CISN stock initially popped 3.4% out of the gate, but was last seen boasting a slimmer 1% gain to trade at $15.57. Nevertheless, the shares are back near their 50-day moving average -- a trendline that served as a floor following Cision's retreat from its June 13 record high of $17.07. Longer term, the security is up 30% year-to-date.
Most analysts are already upbeat on the shares, too, with all but one of the seven covering brokerages maintaining a "buy" or better rating, and not a single "sell" on the books. Plus, the average 12-month price target of $18.71 stands at a 20.6% premium to current trading levels.
Elsewhere, short sellers have been throwing in the towel on their bearish bets. Short interest has been nearly cut in half from its early May record high to 3.3 million shares. However, it would still take shorts more than a week to cover these pessimistic positions, at the average pace of trading, pointing to sideline cash available to fuel more upside.