Needham & Company Maintains Strong Buy on NXP Semi (NXPI) Following Results

Needham & Company analyst Rajvindra Gill reiterated a Strong Buy rating and $120 price target on NXP Semiconductors NV (NASDAQ: NXPI) following a solid quarter and guide.

Gill commented, "While some investors might be concerned about 4Q commentary, excluding 4Q 2015, we are forecasting sales to declines 2% Q/Q (avg. 2012-2014). Possible upside could stem from content gains in auto and accelerated sales in secure connected devices. We see earnings power of $8 to $9 (CY18) with operating margins 31%+. NXPI remains the premier auto supplier with a broad-portfolio addressing ADAS levels 1-4. Moreover, we see NXPI as a compelling deleveraging play and financial earnings story as we forecast the company could generate $3 billion to $4 billion of free cash flow (10% FCF yield)."

For an analyst ratings summary and ratings history on NXP Semiconductors NV click here. For more ratings news on NXP Semiconductors NV click here.

Shares of NXP Semiconductors NV closed at $87.44 yesterday.

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