An update has just come out today on Merge Technologies Incorporated (MRGE), in which senior medical devices and supplies analyst Gregory Aurand, CFA is restating his Hold rating on the company.  We excerpted the following details:

'The company reported a second quarter loss per share higher than our estimate. The company filed its delayed and restated financial statements from 2004 through Q207 in late December 2007. Management expects to release Q307 results in January 2008. Given the quarter miss and the difficult environment the company faces, both external and internal, we are reducing our estimates again. The company reported a second quarter loss per share higher than our estimate.

'Merge filed its delayed and restated financial statements from 2004 through Q207 in late December 2007. Although the company signed 21 new customer contracts in 1H07, bookings remained sluggish in Q207 at $10 million (third quarter bookings are expected around $9 million), suggesting continued difficult business and internal operating conditions.

'Management expects to release Q307 results in January 2008. Given the quarter miss and the difficult environment the company faces, both external and internal, we are reducing our estimates again. Given the RIS/PACS competitive market difficulties and continued losses, we believe the company should trade at a discount to the 2008 2.1x group revenue multiple and the industry median 2.1x 2008 revenue multiple. We rate the stock as Hold and at 1.0 x 2008 revenues, our target price moves to $1.75.'