Avago Technologies (AVGO) PT Raised to $95 at Nomura Securities
Get Alerts AVGO Hot Sheet
Rating Summary:
43 Buy, 3 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 11 | Down: 13 | New: 18
Join SI Premium – FREE
Nomura Securities analyst Romit Shah reiterated a Buy rating and boosted his price target on Avago Technologies (NASDAQ: AVGO) to $95.00 (from $85.00).
Shah commented, "While shares of Avago Tech have been strong (+104% yoy vs SOX +31%), we believe it is too early to take profits because comps mostly lack catalysts and there is room for additional margin expansion. Our price target increases to $95 based on a multiple of 15x CY15E. The relationship between margin and valuation is extremely strong in semis and semi cap. Operating margin improved from 32% in the Jan period to 36% in the Oct period. In addition, we expect revenue growth driven by Wireless. A combination of strong operational execution, lower capex and revenue growth is likely to strengthen the balance sheet. Our $95 price target is based on a multiple of 15x our fully expensed CY15E EPS of $6.15."
The firm raised CY14E EPS from $4.76 to $4.80; CY15E EPS from $5.70 to $6.15.
For an analyst ratings summary and ratings history on Avago Technologies click here. For more ratings news on Avago Technologies click here.
Shares of Avago Technologies closed at $87.11 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Sage Therapeutics (SAGE) PT Lowered to $17 at Oppenheimer
- Blue Owl Capital (OWL) PT Raised to $21 at Citi
- Interactive Brokers Group (IBKR) PT Raised to $136 at Barclays
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS Change, Analyst PT ChangeRelated Entities
NomuraSign 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!