L-1 Identity Solutions Shares Drop On Downgrade

NEW YORK (AP) — Shares of L-1 Identity Solutions Inc. pulled back Wednesday after a recent run-up in the company's share price drew a downgrade at Raymond James.

"The recent gains seem unsustainable from both an absolute and relative basis," Raymond James analyst Brian Gesuale told investors in a note Wednesday.

The company's stock is up 39 percent year-to-date. Moreover, Gesuale noted, shares have climbed 188 percent from March lows.

He said the company's peers have declined year-to-date by 7 percent and are up only 29 percent since March, on average.

Gesuale said he still holds a "positive fundamental outlook" on the Stamford, Conn., company, which makes identification cards and credentials. But he downgraded shares to "Market Perform" from "Strong Buy."

The stock tumbled 99 cents, or 11 percent, to $8.39 in afternoon trading.