First Albany Upgrades Callwave

Analyst Frank Marsala says that a high proportion of the company's investors are in for the long haul

First Albany upgrades Callwave Inc. (CALL ) to strong buy from buy.

Analyst Frank Marsala thinks the stock's share price has been sliding lately, due to concerns about the company's upcoming lock-up expiration.

He believes a high proportion (about 75%) of shares are held by individuals are in for the long haul. Therefore, he thinks there is a low probability those shares will be sold at that time, especially at the current price.

This leaves about 2 million shares that would have a higher probability of being sold, although he doesn't think the current share price is particularly compelling. He thinks the sell-off created an attractive entry point with little downside risk. Marsala has a $12.50 target.

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