Much to the delight of its shareholders, the iSentia Group Ltd (ASX: ISD) share price has continued its strong run today.
At lunch the media monitoring company's shares are up over 6% to $2.26, bringing its three-month return to over 55%.
Why have its shares jumped?
With no news out of the company, today's gain is likely to be attributable to a broker note out of Deutsche Bank this morning.
According to the note, analysts at the investment bank have upgraded iSentia's shares from a hold rating to a buy rating. As well as this, its analysts have increased the price target on its shares to $2.25.
Deutsche appears to believe that although the company has suffered from competitive and execution issues in recent times, it still believes the core business has qualities that make it a good investment option.
Should you invest?
I think that iSentia's core business is a high quality one and alone would be a great investment. However, I'm still yet to be convinced that its content marketing business has completely turned a corner.
The disastrous acquisition of King Content has acted as a real drag on its performance in the last 12 months and I would prefer to hold off an investment until there is evidence of a turn around.
Especially as Deutsche's price target has been breached, implying that its shares are fair value now.
So for the time being I would suggest investors wait for its full-year results and consider an investment in fellow tech shares Altium Limited (ASX: ALU) and Aconex Ltd (ASX: ACX) instead.
