Chordiant Software initiated with "buy"

06/30/08 - B. Riley & Co.

NEW YORK, June 30 (newratings.com) - Analyst Kevin Liu of B Riley & Co initiates coverage of Chordiant Software Inc (CHRD) with a "buy" rating. The target price is set to $7.

In a research note published this morning, the analyst mentions that despite the challenging macroeconomic environment, the recent significant decline in the company’s share price has been overdone. Chordiant Software possesses a robust balance sheet and has a stable and expanding revenue stream in the maintenance segment, the analyst adds. The company has significant margin expansion potential, which might bolster earnings and cash flows going forward, B Riley & Co says.