Lehman Brothers started coverage of Acxiom Corp. (ACXM) with a rating of strong buy.
Analyst Kevin Sullivan says that Acxiom is the most intriguing story in his pure-play marketing services universe. He notes it is a leading CRM-related service provider, offers clients a wide array of data-driven marketing services, advanced data integration technologies and content enhancement products. Having invested more than $100 million in the development of its AbiliTec product over the past 3 years, he says it has positioned itself at the heart of one of the fastest growing sub-sectors of direct marketing and the CRM industries.
Sullivan sees fiscal year 2002 (March) EPS of $0.28 and 2003 EPS of $0.56. He has a $17 price target on the stock.