Nomura Securities Maintains a 'Neutral' on Alcatel-Lucent (ALU); Ready to Unveil Breakthrough Innovation
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Price: $1.87 -1.58%
Rating Summary:
7 Buy, 8 Hold, 8 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 8 | Down: 12 | New: 30
Rating Summary:
7 Buy, 8 Hold, 8 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 8 | Down: 12 | New: 30
Trade ALU Now!
Nomura Securities maintains a 'Neutral' on Alcatel-Lucent (NYSE: ALU) price target of EUR1.27.
Analyst, Stuart Jeffrey, said, "Alcatel-Lucent has announced its intention to “unveil a major breakthrough innovation in core networking” on May 22. We expect this to herald the company’s launch of a dedicated core router. Our analysis shows that a 10% core routing share would drive a 6% increase in our operating income forecast for 2014 (all else being equal) and a 20% share 14% upside to estimates. While at Cisco (Nasdaq: CSCO), risks are largely reflected in estimates, at JNPR, we estimate 2% to 5% downside risk. A 4-6 quarter sales cycle suggests limited upside potential to ALU’s 2012 or 2013 estimates. Maintain Buy on CSCO; Neutral on ALU and Juniper (Nasdaq: JNPR)."
For an analyst ratings summary and ratings history on Alcatel-Lucent click here. For more ratings news on Alcatel-Lucent click here.
Shares of Alcatel-Lucent closed at $1.44 yesterday, with a 52 week range of $1.39-$6.06.
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Analyst, Stuart Jeffrey, said, "Alcatel-Lucent has announced its intention to “unveil a major breakthrough innovation in core networking” on May 22. We expect this to herald the company’s launch of a dedicated core router. Our analysis shows that a 10% core routing share would drive a 6% increase in our operating income forecast for 2014 (all else being equal) and a 20% share 14% upside to estimates. While at Cisco (Nasdaq: CSCO), risks are largely reflected in estimates, at JNPR, we estimate 2% to 5% downside risk. A 4-6 quarter sales cycle suggests limited upside potential to ALU’s 2012 or 2013 estimates. Maintain Buy on CSCO; Neutral on ALU and Juniper (Nasdaq: JNPR)."
For an analyst ratings summary and ratings history on Alcatel-Lucent click here. For more ratings news on Alcatel-Lucent click here.
Shares of Alcatel-Lucent closed at $1.44 yesterday, with a 52 week range of $1.39-$6.06.
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