Piper Jaffray keeps ValueClick (VCLK) at outperform.
Analyst Aaron Kessler says $54 million fourth-quarter revenues topped his $48 million estimate, and 16 cents GAAP earnings per share beat his 10 cents estimate, mostly on strength in high-margin media and affiliate marketing segments.
He cites continued solid organic growth in the company's core media segment. He believes the segment's performance-based solutions continue to gain traction in the market.
Kessler thinks initiatives planned by ValueClick for 2005 could drive the upside. He notes the company sees a launch of an affiliate marketing segment in France and the U.S. launch of its Pricerunner segment. He raises his 37 cents 2005 earnings per share estimate to 39 cents, his 49 cents 2006 earnings per share estimate to 54 cents, and his $16 target to $18.