Microsemi (MSCC): Cutting Estimates Slightly But See Upside Under Trump - Mizuho

Mizuho Securities analyst, Vijay Rakesh, reiterated his Outperform rating on shares of Microsemi Corporation (NASDAQ: MSCC) noting the exposure to Aerospace and Defense as drivers but reduced March quarter estimates slightly to account for seasonality.

MSCC has one of the highest exposures to defense and aerospace (~26%) and industrial (~21%) among semiconductors, an improving defense and aerospace spending environment should be a tailwind. MSCC customer Lockheed Martin (LMT) expects F17E Overseas Contingent Operations (OCO) defense spending could rise ~15% versus its prior up 5% view.

However, the analyst cut MarQ MSCC estimates to be more in line with seasonality. He believes MSCC should be a beneficiary of the improved defense spending outlook, a Trump Presidency, and may be an attractive M&A target.

No change to the price target of $60.

For an analyst ratings summary and ratings history on Microsemi Corporation click here. For more ratings news on Microsemi Corporation click here.

Shares of Microsemi Corporation closed at $52.63 yesterday.

You May Also Be Interested In

• HSBC Downgrades Feng Tay Enterprises (9910:TT) to Hold
• Dynatrace Inc. (DT) PT Lowered to $58 at TD Cowen
• Banner Corporation (BANR) PT Lowered to $51 at Piper Sandler