Three IPO underwriters (Goldman, RBC, Oppenheimer) have assigned neutral ratings to The Rubicon Project (RUBI -13.4%), and two (Morgan Stanley, Needham) have assigned bullish ratings.
RBC's Rohit Kulkami: "While we consider Rubicon as a leading, best-in-class ad-tech company, particularly on the supply-side, ad-tech ecosystem remains out of favor with structural, competitive, and unit economics headwinds. Hence, we prefer to wait for attractive entry points..."
Needham's Kerry Rice is more bullish, praising how Rubicon's cloud architecture (previous) "automates the complexities plaguing the digital advertising ecosystem, and in doing so creates a defensible position." She also likes Rubicon's ability to "synthesize unique insights" from its data, and to benefit from RTB/programmatic ad growth.
Rubicon shares are still up 12% from their $15 April 3 IPO price.