- An initiation of Underweight with a PT of $45 from Evercore is helping send Rocket Fuel (FUEL -5.3%) shares lower in morning trading.
- Analyst Andrew McNellis believes a "valuation of more than 9x '14 gross profit and 47x '15 consensus EBITDA assigns too much credit in advance of demonstrated defensibility around its technology and algorithms within a crowded ad technology field. Moreover, we see many of these competitive alternatives as moving more quickly to a SaaS model, which we understand many customers prefer."
- Other ad tech plays are down on the day in tandem: Criteo (CRTO -1.7%), YuMe (YUME -5.7%), Tremor Video (TRMR -6%).
Evercore initiates Rocket Fuel at Underweight, questions defensibility of tech
Dec 2 2013, 10:58 ET