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Salomon Elevates Mediacom Target

Salomon Smith Barney Inc. cable analyst Niraj Gupta changed his price target on Mediacom Communications Corp. for the second time in a week, after conceding that he neglected to credit the MSO for its transition from a leasing model to a retail one. As a result, Gupta said his annual model for Mediacom understated revenue and cash-flow projections in outer years. On Aug. 12, Gupta lowered the MSO's 12-month price target from $16 to $4 based on those faulty projections. But on Aug. 19, Gupta raised his 12-month price target on the stock to $7 from $4, citing the error. He maintained a "neutral" rating.