While most Internet stocks were being pounded, shares of health destination site HealthCentral.com (Nasdaq: HCEN), which operates an online drugstore, climbed nearly 19 percent on Tuesday, gaining 1-1/2 to 9-1/2 after the company received a strong buy rating from Lehman Brothers. The strong buy rating was not a surprise, because Lehman Brothers was the lead underwriter for HealthCentral.com’s December IPO. However, Lehman’s aggressive price target of $30 was notable.
HealthCentral.com is still trading significantly below its IPO price of $12 a share, and the company has the benefit of promotion from high-profile medical broadcaster Dean Edell. While $30 looks like a lofty target, this stock could have some room to climb.