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Napco short report ‘fundamental misunderstanding,’ says TD Cowen

TD Cowen views shares of Napco Security as “more compelling” after a short report Fuzzy Panda drove the shares down 20% on Thursday. The short report “seems to demonstrate a fundamental misunderstanding of Napco’s business as well as basic accounting concepts,” the analyst tells investors in a research note. TD says shares of Napco have gone from “attractive to highly compelling, creating some urgency” since it expects the stock to fully recover their recent losses. The firm has a Buy rating on the name with a $60 price target.

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