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Nomura Securities Maintains a 'Neutral' on Linear Technology (LLTC); Raising PT & Estimates

January 19, 2012 9:38 AM EST
LLTC Hot Sheet
Rating Summary:
    4 Buy, 5 Hold, 3 Sell

Rating Trend: Down Down

Today's Overall Ratings:
    Up: 20 | Down: 11 | New: 38
Nomura Securities maintains a 'Neutral' on Linear Technology (NASDAQ: LLTC) price target of $35.00.

Analyst, Romit Shah, said, "We believe that a combination of trough earnings, improving comps and 500+ bps of operating leverage should support a high teens multiple. Given improving economic conditions in the U.S. and China, management is optimistic that the bookings strength reflects an uptick in end demand. We increase our FQ3 EPS estimates from $0.41 to $0.42, and CY12 estimate from $1.80 to $1.87. We are increasing our price target from $27 to $35, which is based on 18x our revised CY12 EPS estimate of $1.87, plus net cash. The read-through for the analog group is positive. In this arena, Avago (Nasdaq: AVGO)(Buy) is our top pick."

For an analyst ratings summary and ratings history on Linear Technology click here. For more ratings news on Linear Technology click here.

Shares of Linear Technology closed at $33.32 yesterday, with a 52 week range of $25.41-$36.14.


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