Canaccord Genuity Maintains a 'Hold' on Novatel (NVTL) Solid Q4/11; Product Transition Uncertainty Leads to Soft Guidance
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Price: $3.39 -0.88%
Rating Summary:
1 Buy, 5 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 24 | New: 24
Rating Summary:
1 Buy, 5 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 24 | New: 24
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Canaccord Genuity maintains a 'Hold' on Novatel (NASDAQ: NVTL) price target of $4.00.
Analsyt, T. Michael Walkley, said, "Novatel reported Q4/11 sales of $110M and pro forma EPS of $0.05 versus our $113M/($0.05) estimates. Improved operating expenses led to the stronger EPS results. Q1/12 sales guidance of $85M-$110M was below our $112M estimate with the wide range reflecting the uncertain timing of a key MiFi product launch for Verizon (NYSE: VZ). While we anticipate steadily improving sales for mobile computing during 2012 and a strong H2/12 ramp for M2M sales, we maintain our rating."
"...we are lowering our pro forma 2012 EPS estimate from $0.33 to $0.14 due to our lowered mobile computing estimates. We believe Novatel should post solid earnings growth exiting 2012, and we introduce our 2013 estimate of $0.30."
For an analyst ratings summary and ratings history on Novatel click here. For more ratings news on Novatel click here.
Shares of Novatel closed at $3.27 yesterday, with a 52 week range of $2.51-$6.99.
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Analsyt, T. Michael Walkley, said, "Novatel reported Q4/11 sales of $110M and pro forma EPS of $0.05 versus our $113M/($0.05) estimates. Improved operating expenses led to the stronger EPS results. Q1/12 sales guidance of $85M-$110M was below our $112M estimate with the wide range reflecting the uncertain timing of a key MiFi product launch for Verizon (NYSE: VZ). While we anticipate steadily improving sales for mobile computing during 2012 and a strong H2/12 ramp for M2M sales, we maintain our rating."
"...we are lowering our pro forma 2012 EPS estimate from $0.33 to $0.14 due to our lowered mobile computing estimates. We believe Novatel should post solid earnings growth exiting 2012, and we introduce our 2013 estimate of $0.30."
For an analyst ratings summary and ratings history on Novatel click here. For more ratings news on Novatel click here.
Shares of Novatel closed at $3.27 yesterday, with a 52 week range of $2.51-$6.99.
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