Needham & Company Reiterates a 'Buy' on Key Technology (KTEC); Healthy Bookings, Backlog Provide Solid Measure Of Visibility Entering F12

Needham & Company reiterates a 'Buy' on Key Technology (NASDAQ: KTEC) price target of $16.00.

Needham analyst says, "KTEC, which preannounced weaker than expected FQ4 results in late September, yesterday reported a solid q/o/q increase in bookings and backlog, although orders were down about 6% from the record levels of the year-ago period. Management guided for FQ1 revenues to be flat sequentially, with continued margin pressure likely to weigh on EPS. However, KTEC sees improving revenues and margins based on the strength of its backlog and new product/market initiatives that will roll out over the course of F12. KTEC shares are trading at reasonable 9x our new F13 EPS estimate, adjusting for net cash."

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

Shares of Key Technology closed at $13.23 yesterday.

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