Yucheng Tech Could Rise on Bullish Note

Dec.20.07 | About: Yucheng Technologies (YTEC)

Susquehanna is out very a good call on Yucheng Technologies Limited (NASDAQ:YTEC) saying that it earlier hosted marketing meetings with the management of YTEC, a small-cap IT Services and Products company based in Beijing. Currently, three large banks - Construction, Agriculture, and CITIC - comprise a large percentage of YTEC's revenue. While these contracts are doing well, the frim came away from discussions with increasing confidence YTEC will potentially close another large and regional bank in the near future.

With a modest valuation, sound management is executing effectively on a broad market opportunity entering into 2008. SUSQ reiterates their Positive rating on the shares.

Notablecalls: YTEC's a mover and I think SUSQ's comments regarding a possible large deal coming soon may reignite it. Nice call by James Friedman from SUSQ's Global Business Services.