Morgan Keegan Reiterates “Outperform” Rating on RealNetworks

Morgan Keegan reiterated their “Outperform” rating for shares of RealNetworks (NASDAQ: RNWK) yesterday after the bell. They said that Q1 results were quite positive for the company and that EBITDA far exceeded their expectations.

Analysts suggested that financial estimates for RealNetworks are “very misleading given that its in the midst of its restructuring activities. Based on reasonable expectations, we expect at least $5/share in value once Real’s restructuring is complete, with potentially as much as $7/share if asset monetization and resumption of growth exceed expectations.”

RealNetworks’ price target is $5-7; the stock is currently trading $4.16.