January 18, 2012 1:42 PM EST

Dougherty & Co assumes coverage on NIC Inc. (NASDAQ: EGOV) with a Neutral. PT $14.00.

Dougherty analyst says, "While we believe that EGOV has the potential to grow revenues in the low teens long-term, and we like the near monopoly status of the company in the self-funded model, new request for proposals (RFPs) and progress in the States of North Carolina and New Jersey will likely be drivers of the stock in the near-term. Historically, NIC wins one or two state portal contracts every year but during the last two election years, the company did not win any portal contracts. Given that this year is the election year and there is also potential for change in leadership positions in various states in the upcoming year, we believe that the RFP environment and subsequent progress on RFPs may not be as robust as it has been in recent years. Further, our due diligence suggests that it might be difficult for EGOV to make progress with North Carolina RFP this year."

For an analyst ratings summary and ratings history on NIC Inc. click here. For more ratings news on NIC Inc. click here.

Shares of NIC Inc. closed at $12.90 yesterday, with a 52 week range of $9.58-$14.48.

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