Computer Modelling Receives a Hold from Canaccord Genuity

By Ryan Adsit

Today, an analyst has provided a rating update for the Technology company, Computer Modelling (TSX: CMG). Analyst Doug Taylor from Canaccord Genuity rated Computer Modelling (TSX: CMG) a Hold, setting a C$9 price target.

Taylor wrote:

“CMG overnight reported December quarter results which were below both our expectations and the Street with softer recurring revenue than we anticipated. We rate CMG a HOLD as we believe that the current valuation already bakes in CMG’s strong business model and optimism around the rising energy price environment. FQ3 results suggest that the improved fundamentals of the energy sector have not yet translated into improved financial performance for CMG. We view CMG’s competitive position, business model and history of execution favorably. However, we still recommend investors exercise caution until a more consistent upward trajectory in recurring revenue and profits emerges. We maintain a C$9.00 target.”

According to TipRanks.com, Taylor is ranked #442 out of 4743 analysts.

Computer Modelling has an analyst consensus of Hold, with a price target consensus of C$9.

The company has a one-year high of C$11.32 and a one-year low of C$8.86. Currently, Computer Modelling has an average volume of 99.72K.

Computer Modelling Group Ltd. engages in the development and supply of reservoir simulation technologies. The firm develops and licenses reservoir simulation software and provides professional services such as support, training, consulting and contract research activities.

The company’s shares closed on Tuesday at C$9.39.