Sell-side reaction to ValueClick's (VCLK) quarter

| About: Conversant, Inc. (CNVR)
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Here's an extract from what Pacific Growth Equities analyst Derek Brown wrote to clients after ValueClick announced its Q4 results and discussed expansion on its conference call:

ValueClick currently trades at 4x and 3x our 2005/06 revenue estimates of $220M and $260M, respectively; at 15x and  11x our 2005/06 EBITDA estimates of $58M and $77M, respectively; and, at 31x and 25x our 2005/06 EPS estimates of  $0.41 and $0.51, respectively — attractive multiples, in our view, given the Company’s history of solid execution,  projected 3-year growth rate of 20–30%, and valuations of similar Internet companies.  Furthermore, ValueClick’s heavy  exposure to some of the strongest sectors of the online economy — display advertising, paid search, and e-commerce —  offers a powerful tailwind to the business that could help drive operational and financial outperformance over time. We  continue to see a favorable risk/reward profile for the Company at current levels and reiterate our Over Weight rating on  ValueClick’s shares.

VCLK chart below.