Needham & Company Reiterates Buy on Coherent, Inc. (COHR) as Shares Trade Down

Needham & Company reiterated a Buy rating and $115.00 price target on Coherent (NASDAQ: COHR) as share trade down following strong 2Q. Some momentum-oriented investors seem to have concluded that COHR’s OLED-related bookings have peaked.

Analyst James Ricchiuti commented, "COHR shares are down about 14% since COHR reported better than expected FQ2 results and highlighted by record bookings of nearly $500M and backlog of over $700M. Some momentum-oriented investors seem to have concluded, perhaps not surprisingly, that COHR’s OLED-related bookings have peaked. We hosted COHR mgmt at a series of investor meetings on the west coast recently and came away confident about the strong earnings story unfolding at COHR. We also came away more optimistic that the integration team in place can move quickly to fold in Rofin-Sinar (RSTI, NR) once the deal closes, which is expected in the Sept.-Nov time frame. To the extent that COHR no longer trades as a “bookings” story, we believe a strong case can be made for COHR as a compelling GARP idea at current levels. We reiterate our Buy rating."

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

Shares of Coherent closed at $85.64 yesterday.

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