Drexel Hamilton analyst defends OSI Systems

|About: OSI Systems, Inc. (OSIS)|By:, SA News Editor

OSI Systems (NASDAQ:OSIS) share are up 6.7% premarket after a Drexel Hamilton analyst defends the company against yesterday’s Muddy Waters report.

Analyst Brian Ruttenbur, who has followed OSI Systems for 15 years, estimates that the key Mexico contract contributes $120M to annual revenues with profits close to $30M of EBITDA. Muddy Waters had estimated $100M of EBITDA. Ruttenbur also expects the contract to renew next year with a lower revenue run rate that’s already factored into his estimates. 

OSI Systems shares closed yesterday down 29.2% after the Muddy Waters report. 

Source: Notable Calls  

Previously: OSI Systems -11.8% after Muddy Waters report (Dec. 6)

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