Piper Jaffray Comments On Strong Near-Term Growth Ahead For Altisource Portfolio Solutions

In a report published by Piper Jaffray, Altisource Portfolio Solutions (NASDAQ: ASPS) has strong near-term growth ahead.

Piper Jaffray reported that it reiterates its OW rating on ASPS following recent travel with management. “Since its spin from OCN, ASPS has successfully executed on its main objective of building its default/foreclosure business to capture greater outsourced business from OCN. We believe the 2 key objectives for ASPS in '11 will be to 1) execute on referrals from OCN's larger servicing portfolio and 2) begin building an origination services business, which will temper '11 margin expansion but raise visibility of long term growth. ASPS is attractively positioned to leverage its relationship with OCN and drive strong near-term growth, while also building for the future. We find the shares attractive, trading at 11.4x/10.2x our '11/'12 EPS estimates. OCN servicing additions would drive significant upside to our estimates.”

Altisource Portfolio Solutions closed on Friday at $30.00.