First Albany initiated coverage of Altiris (ATRS ) with buy.
Analyst Damian Rinaldi says Altiris' products are broadly installed, and provide the foundation for expansion into adjacent markets spanning other technologies, information-technology functions, or both. Rinaldi sees almost 50% growth in 2003 revenue to $94 million, with pro forma earnings per share tripling to 48 cents.
Rinaldi sees a further 23% revenue expansion in 2004, and 25% pro forma earnings per share growth to 60 cents. He established an $18 target, based on shares trading at 30 times his 60 cents 2004 earnings per share (pro forma) estimate, and the projected 30% earnings per share growth over three years.