Needham & Company Maintains a 'Hold' on Key Technology (KTEC); CEO Resigns
Tweet
Share
E-mailGet Alerts KTEC Hot Sheet
Price: $13.26 -0.6%
Rating Summary:
0 Buy, 1 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
0 Buy, 1 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Join SI Premium – FREE
Needham & Company maintains a 'Hold' on Key Technology (NASDAQ: KTEC).
Analyst, James Ricchuiti, said, "KTEC, which has struggled with lackluster top-line growth and eroding margins in a challenging industry environment, announced on Friday that CEO David Camp has resigned. Camp, who had been the company’s CEO since 2006 and directed the overhaul of much of KTEC’s product offering during that time, has been succeeded by John Ehren, KTEC’s CFO since 2008, and who had been serving as COO since December 2011. We believe KTEC’s board and senior management team will accelerate the focus on improving the company’s flagging profitability, a source of some frustration for shareholders. In particular, we expect efforts to be stepped up to improve gross margins, which declined from 39.7% in F08 to 32.5% in F11, and rein in operating expense, which has increased in absolute dollars y/o/y in the last 12 months, even as revenues declined y/o/y in three of the last four quarters."
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 $12.52 yesterday.
Analyst, James Ricchuiti, said, "KTEC, which has struggled with lackluster top-line growth and eroding margins in a challenging industry environment, announced on Friday that CEO David Camp has resigned. Camp, who had been the company’s CEO since 2006 and directed the overhaul of much of KTEC’s product offering during that time, has been succeeded by John Ehren, KTEC’s CFO since 2008, and who had been serving as COO since December 2011. We believe KTEC’s board and senior management team will accelerate the focus on improving the company’s flagging profitability, a source of some frustration for shareholders. In particular, we expect efforts to be stepped up to improve gross margins, which declined from 39.7% in F08 to 32.5% in F11, and rein in operating expense, which has increased in absolute dollars y/o/y in the last 12 months, even as revenues declined y/o/y in three of the last four quarters."
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 $12.52 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Coherent (COHR) PT Raised to $420 at Needham
- Needham Reiterates Buy Rating on Lucid Diagnostics Inc (LUCD)
- TSS Inc (TSSI) PT Lowered to $13 at Needham
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS ViewRelated Entities
Needham & CompanySign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
