Lake Street reiterates Buy on OptimizeRx after ‘surprising’ CEO departure

Lake Street was surprised at the news OptimizeRx’s (OPRX) CEO Will Febbo will be resigning December 31st. While the firm believes President Steve Silvestro is “a capable backfill,” it notes the timing seems odd. Typically, planned transitions are revealed around the normal earnings cycle, rather than two days before Christmas. Lake Street does not think Feebo’s departure was due to concerns around out-year expectations. With that said, the firm says it is also not blind to the stock’s underperformance over the past three years. In order to achieve a better stock valuation, whoever takes over will need to get the company back on track delivering consistent double-digit organic growth, it argues. Lake Street reiterates a Buy rating on the shares with a price target of $11.