Westminster Securities Reiterates 'Strong Buy' Rating, Six-Month Price Target of $12.24 and 12-Month Price Target of $15.98 On M
February 26 2004 - 1:40PM
PR Newswire (US)
Westminster Securities Reiterates 'Strong Buy' Rating, Six-Month
Price Target of $12.24 and 12-Month Price Target of $15.98 On
Medical Technology Systems, Inc. ATLANTA, Feb. 26
/PRNewswire-FirstCall/ -- Westminster Securities Corporation is
reiterating its investment and risk ratings on Clearwater,
Florida-based Medical Technology Systems, Inc. (American Stock
Exchange: MPP) with a "Strong Buy" investment rating, a six-month
Target Price of $12.24, a 12-month Target Price of $15.98, and a
risk rating of "Moderate" over both time periods. According to
Westminster analyst Will Lyons, "We are not aware of any
fundamental reasons for the recent weakness in MPP's share price.
In our opinion, the current price represents a significant buying
opportunity in light of the company's most recent quarterly
earnings release and conference call on 2/5/04, in which management
indicated a number of positive developments." Included in those
developments were the following: - Continued strong revenue and
earnings growth. In the December 2004 quarter earnings per share
rose 61 percent (to $0.10) on a 25 percent rise in revenues. -
Sales of three of the company's innovative, automated OnDemand(TM)
pharmaceuticals packaging machine were booked in the December
quarter, reflecting increasing interest in this time- and
money-saving new product line. We are also encouraged by
management's forecast for a substantial increase in MPP's sales of
OnDemand(TM) machines in the coming year, ramping up to one
semi-automated unit per month and one fully-automated unit per
quarter. Our current forecast is for MPP's fully-taxed,
fully-diluted earnings per share to rise to US$0.33 and US$0.50 in
fiscal years ending 3/31/04 and 3/31/05, respectively. MPP's
current share price of $6.85 is 21 X and 14 X these estimates,
respectively. Medical Technology Systems, Inc. is North America's
largest provider of packaging supplies and equipment for
institutional pharmacies. MPP's customers inthe US and abroad --
who package pharmaceuticals for assisted living, medical and other
institutions with 100s or 1,000s of residents requiring daily doses
of various medications or nutritional supplements in pill or
capsule form -- use MPPs innovativeproducts to safely package such
medications and supplements more quickly and efficiently than is
possible with other packaging options. MPP is not an investment
banking client of Westminster Securities Corporation and
Westminster Securities Corporation does not make a market in MPP
shares. For further information, please contact: William D. Lyons,
Director of Equity Research () Richard Louise, Director of
Institutional Sales () Westminster Securities Corporation, 3827
Roswell Road, Suite 100-A, Atlanta, Georgia 30062; Phone: (770)
321-6799; Fax: (770) 321-2253 Westminster Securities Corporation is
a full service New York Stock Exchange member firm operating in six
principal areas: Investment Banking, Equity Research, Execution
Services, Clearing and Operations and Institutional and Retail
Account Management. Combining the responsiveness of a boutique firm
with the financial expertise of a long established institution,
Westminster provides its services to corporations, institutions,
private clients, and investment professionals worldwide. Founded in
1971, Westminster is a member of the New York Stock Exchange,
National Association of Securities Dealers (CRD number 6105), and
the Securities Investor Protection Corporation. Westminster is
headquartered at 100 Wall Street, New York, with branch offices in
Atlanta, New York, Miami, St. Louis, Toronto, Limassol (Cyprus) and
Shanghai (People's Republic of China). DATASOURCE: Westminster
Securities Corporation CONTACT: William D. Lyons, Director of
Equity Research, , or Richard Louise, Director of Institutional
Sales, , both of Westminster Securities Corporation,
+1-770-321-6799, or fax, +1-770-321-2253 Web site:
http://www.westminstersecurities.com/
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