MS starts Model N with 'overweight' on "attractive" pharma exposure

Model N

27/03/2023 12:39

** Morgan Stanley starts coverage of cloud revenue
management solutions provider Model N  MODN.N  with "overweight"
    ** MS is positive on Model N's leadership position and 85%
exposure to secular growth of life sciences and has strong
profitability compared to peers
    ** Says amid macro uncertainty, Model N's "pharma end-market
has an attractive combination of near-term defensive
characteristics and long-term secular growth drivers"
    ** MS notes most of MODN's Saas contracts are 3 years, with
some up to 4-5 years and even as high as 7 years
    ** MS sets $43 PT on MODN vs stock's Fri close of $31.95 and
analysts median PT of $47.50 - Refinitiv data
    ** MODN down 21.23% YTD

 (Reporting by Aniruddha Ghosh in Bengaluru)
 ((Aniruddha.Ghosh@thomsonreuters.com; 91 83 83 81 2416;))