Morgan Keegan Sets Outperform On DGII, Market Perform On TRMB

Morgan Keegan analyst Tavis McCourt this afternoon launched coverage of Digi International (DGII) with an Outperform rating, while starting Trimble Navigation (TRMB) at Market Perform.

• Digi, he writes in a research note, is a leading supplier of wireless modules for machine-to-machine communications; he contends the company is poised to share in that market. He also notes that with over $3 a share in net cash, and a business that has consistently operated in the black, the company has the financial strength to consolidate the M2M industry and withstand economic downturns. He says DGII is “one of the few publicly traded companies that providers investors with a way to invest in a company heavily exposed to M2M communications,” an area he expects to be “one of the primary drivers of wireless industry growth over the next 20-30 years.” (Read More)

Source: Barron's