Piper Jaffray Downgrades Inovalon Holdings (INOV) to Underweight

Piper Jaffray downgraded Inovalon Holdings (NASDAQ: INOV) from Neutral to Underweight with a price target of $11.00 (from $14.00).

Analyst Sean Wieland commented, "INOV missed for the fifth sequential quarter, with CY16 organic revenue guidance at 0%, leaving us to ask, "Where's the growth?" Revenue attrition nearly doubled sequentially, customers are demanding price concessions on a legacy product, and the sales pipelines of newer products are not closing. Our target PE multiple of 20x remains the same, but our CY17E EPS is reduced to $0.55 (from $0.68), our target is lowered to $11, and we downgrade to Underweight."

For an analyst ratings summary and ratings history on Inovalon Holdings click here. For more ratings news on Inovalon Holdings click here.

Shares of Inovalon Holdings closed at $19.27 yesterday.

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