Identive (INVE) Q4 Results Flat with Views; Cowen Remains Bullish on Partnerships, Transformation

Cowen and Company affirms Identive Group (NASDAQ: INVE) at Outperform with a price target of $24 following the company's Q4 report, which saw EPS of $0.00 and revenue of $19.4 million, versus expectations calling for EPS of $0.00 and revenue of $21.6 million.

Analyst Bryan Prohn commented on what to do with INVE moving forward: INVE provided an initial F2015 revenue guidance range of $95 - $105 million, a figure that at its midpoint is essentially is in-line with the Street ($100.7 million) and our estimate entering the print. The revenue guidance implies a minimum of 17% Y/Y growth with upside to almost 30% Y/Y growth at the high-end of the range (likely equating to much faster growth than the overall market). That said, given the majority of top-tier customer and partnership projects are likely to be longer-term orders with lengthy acceptance clauses and implementation cycles (and often requiring several quarters to achieve full deployment), some investors may focus on a lack of explicit FQ1:15 guidance as evidence '15 growth could be more challenging (weighing on overall sentiment near-term).

However, relative to '15 we remain biased to the higher end of the range given clear top-tier distribution channels and partnership momentum (e.g., 3M, Stanley, Tyco, Verizon and another strategic partner still-pending), an improving outlook for government sales and a uniquely differentiated technology partnership catalyst in Identiv Labs (all likely fueling a very strong second half of the year).

For an analyst ratings summary and ratings history on Identiv, Inc. click here. For more ratings news on Identiv, Inc. click here.

Identiv, Inc. closed at $10.63 yesterday.

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