UPDATE: Nomura Initiates Coverage On Mobile Iron On Positive Outlook

In a report published Monday, Nomura analyst Rick Sherlund initiated coverage on Mobile Iron (NASDAQ: MOBL) with a Buy rating and $13.00 price target.

In the report, Nomura noted, “We are initiating coverage of MobileIron with a Buy rating and $13 target price, based on our positive view of the company's positioning within the underpenetrated, high-growth mobile enterprise management (MEM) space.

"We believe that the stock's valuation at 4.8x EV to CY15E revenue undervalues the company's growth prospects based on our estimates (38% y-o-y growth expected in CY15) and our expectation for the company to reach an operating margin of 20-25% over the long term. Competitive risks are high, but we believe the market opportunity is rich for the emerging market leaders.”

Mobile Iron closed on Thursday at $9.82.