ARRIS Group (ARRS) PT Lifted to $36 at Needham & Company on 'Solid' Q2

Needham & Company analyst Richard Valera reiterated a Buy rating and bumped his price target on ARRIS Group (NASDAQ: ARRS) to $36.00 (from $34.00) following Q2 results.

Valera commented, "ARRS delivered solid 2Q14 results but, after 4 quarters of q/q growth, guided for a q/q decline in 3Q, likely on some natural share shift at Comcast. Additionally, perhaps stating the obvious, management cited the potential for some choppiness around the potential closure of 2 M&A deals among its NA customers in 4Q/1Q, while also remaining bullish about demand for 2015. Given the high expectations embedded in the recent stock run up, we expect some near-term profit taking on this news. However, we remain bullish on the company longer term as a play on the ongoing upgrade cycle among cable and TelcoTV providers. Maintain Buy, PT to $36 (was $34), or 12x 2015 NG EPS."

The firm adjusted estimates, for 2014, we go to $5.439B/$2.59 from $5.520B/$2.53. 2015 goes to $5.80/$2.93 from $5.89B/$2.89.

For an analyst ratings summary and ratings history on ARRIS Group click here. For more ratings news on ARRIS Group click here.

Shares of ARRIS Group closed at $34.17 yesterday.

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