Sterne Agee Upgrades NETGEAR (NTGR) to Buy, Cites Favorable Risk-Reward on Pullback

February 15, 2013 7:15 AM EST Send to a Friend
Get Alerts NTGR Hot Sheet
Price: $32.24 +0.69%

Rating Summary:
    3 Buy, 10 Hold, 1 Sell

Rating Trend: Down Down

Today's Overall Ratings:
    Up: 10 | Down: 19 | New: 37
Trade NTGR Now!
Join SI Premium – FREE
Sterne Agee upgraded NETGEAR (NASDAQ: NTGR) from Neutral to Buy with a price target of $41.00.

"We believe the recent pullback is overdone and find the risk-reward attractive. We see several 2H catalysts/drivers: (1) ramp of 802.11ac or Gigabit Wi-Fi; (2) 4G LTE gateway opportunity helped with its acquisition of SWIR's data card business; and (3) recovering storage business, though small, is accretive to margins," analyst Shaw Wu states. "Moreover, we believe CSCO selling Linksys helps."

The $41 price target is based on a 13.5x multiple on CY14 EPS.

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

Shares of NETGEAR closed at $32.55 yesterday.

Serious News for Serious Traders! Try Premium Free!

You May Also Be Interested In

Related Categories

Hot Upgrades, Upgrades

Related Entities

Sterne Agee

Add Your Comment