Raymond James Keeps 'Strong Buy' on Cerner
Raymond James keeps strong buy on Cerner (CERN ).
Analyst James Kumpel says the provider of health technology services is down about 10% Friday on rumors that Barron's might feature a hatchet job article restating some of the company's prior woes. Kumpel notes the article never transpired, and maybe someone is shorting the stock. He thinks the stock's move down to the $30 range since early July reflected those concerns.
Kumpel says Cerner has been chipping away at operating issues, slowly but surely. He says he's extremely impressed with the operating performance of Cerner in capitalizing on its strong hospital customer base and a national call for reduced medical errors. He says his $54 target is based on 30 times his $1.81 2003 earnings per share estimate.