Echelon initiated with "market perform" - update

12/07/07 - Sturdivant & Co

NEW YORK, December 7 (newratings.com) - Analyst Richard A Verdi of Sturdivant & Co initiates coverage of Echelon Corporation (ELON) with a "market perform" rating. The 12-month target price is set to $23.

In a research note published this morning, the analyst mentions that the company is well positioned to benefit from growth in the smart metering market. Echelon is expected to continue to generate earnings growth over several forthcoming years, backed by market share gains, above-average revenue growth and consistent market penetration, the analyst adds.