Atlanticus initiated with a Neutral at Janney Montgomery Scott

Janney Montgomery Scott initiated coverage of Atlanticus with a Neutral rating and $40 fair value estimate. Atlanticus operates two distinct segments, Credit as a Service, or “CaaS,” and Auto Financing, and the CaaS segment is “the dominant revenue driver,” the analyst tells investors. The company offers both private label credit cards and general purpose credit cards and the firm thinks that the latter have “the strongest opportunity for growth in the near- and subprime segments,” the analyst added.