Should LifeLock (NYSE:LOCK) Shares Be Watched After Needham Initiates Coverage?


Why Has Needham Given LifeLock (NYSE:LOCK) a $17.0 Price Target

Researchers at Needham has given issued a key “Buy” rating for LifeLock (NYSE:LOCK). The firm initiated coverage in analysts note revealed to clients and investors on 18 December. The Estimated Target Price would possibly suggest upside of 21.52% from the stock close price.

From a total of 8 analysts covering LifeLock Inc (NYSE:LOCK) stock, 0 rate it a ”Buy”, 0 a “Sell”, and 0 a ”Hold”. This means that NaN of the ratings are positive. The highest target price is $25 while the lowest target price is $13. The mean of all analyst targets is $18.25 with a 17.44% above today’s ($13.99) stock price. LifeLock Inc was the topic of 11 analyst reports since July 22, 2015 according to the firm StockzIntelligence Inc. Dougherty & Company upgraded shares on October 29 to “Buy” rating. Bank of America downgraded LOCK stock in a recent report from July 30 to “Neutral” rating.

The stock decreased 2.10% or $0.3 during the last trading session, striking $13.99. Approximately shares of stock traded hands. Lifelock Inc (NYSE:LOCK) has declined 8.98% since May 15, 2015 and is downtrending. It has underperformed by 5.17% the S&P500.

The overall sentiment of institutions has decreased to 0.83 in Q2 2015. Its down 0.24, from 1.07 in 2015Q2. The ratio dropped, as 66 institutions have sold all the shares of Lifelock Inc that they owned while 42 funds have taken shares off the table. 40 funds have purchased shares for the first time while 50 added to their positions. These institutions now hold 85.64 million shares or 5.73% less than the 90.85 million shares they owned in 2015Q2.

The Fund Deer Vi & Co. Llc currently is holding shares equating to 80.75% of its total portfolio in Lifelock Inc representing a total of 6.17 million shares. Another fund,Okumus Fund Management Ltd., is holding a total of 8.84 million shares equating to 10.13% of their holdings. Additionally, Prescott General Partners Llc has a 8.78 million share stake in Lifelock Inc which represents 5.66% of their total portfolio. The Fund, Kerrisdale Advisers Llc, based out of New York, has also built up a stake in the stock, which represents a total of 4.46% of their total portfolio. Finally Smith Thomas W, a fund which is based in the state of Florida reported a total holdings of 445,223 shares.

Insider activity is a very important aspect to track on any stock. Going back to March 27, 2015, shareholders of Lifelock Inc have witnessed 0 buys, and a total of 16 selling transactions equating to a net activity of approximately $611,895 . Schneider Hilary sold 2,757 shares worth approximately $25,916. Robbins Nicholas W. sold 246 shares worth approximately $2,182. Power Chris G sold 3,000 shares worth approximately $49,200. Davis Richard Todd sold 15,000 shares worth approximately $248,955. The company insider Cerda Clarissa sold 5,000 shares worth $85,650.

LifeLock, Inc. is a provider of proactive identity theft protection services for clients and identity risk assessment and fraud protection services for enterprises. The company has a market cap of $1.36 billion. It operates in two divisions: consumer segment, which offers offer identity theft protection services to clients on a monthly or annual subscription basis, and an enterprise segment, which offers consumer risk management services to enterprise clients who pay it based on the monthly volume of transactions with the Company. It currently has negative earnings. As of December 31, 2014, the Company served approximately 3.6 million paying members.

According to Zacks Investment Research, “Life Lock, Inc. offers identity theft protection services primarily in the United States. It operates in two segments: consumer segment and an enterprise segment. The company protects consumer subscribers through monitoring identity-related events, such as new account openings and credit-related applications; and enterprise customers through delivering on-demand identity risk and authentication information about consumers. Its customers include financial institutions, telecommunication and cable services providers, government agencies, technology companies, large retailers, automobile and mortgage lenders, and e-commerce providers. Life Lock, Inc. is headquartered in Tempe, Arizona.”