Morgans starts coverage

Morgans rates M7T as Initiation of coverage with Hold (3) -
Mach7 Technologies first-half result met Morgans' estimates, the company reporting maiden positive cash flow, on track with guidance.

A key contract win from Advocate Aurora Health was the main driver, thanks to the booking of $4m in software licence fees.

Management reports a solid pipeline, but the broker says much will come down to the timing of contract execution from here and expects a weaker second half.

Morgans initiates coverage with a Hold rating and target of $1.16.

So they start at a hold, even though you would make 40% buying here if it hits their target!

What clowns.