Canaccord Genuity Morning Coffee on Cree (CREE) and Extreme Networks (EXTR): Shedding Some Light On The Situation
Tweet
Share
E-mailGet Alerts CREE Hot Sheet
Price: $79.12 --0%
Rating Summary:
9 Buy, 22 Hold, 8 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 9 | Down: 16 | New: 15
Rating Summary:
9 Buy, 22 Hold, 8 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 9 | Down: 16 | New: 15
Join SI Premium – FREE
Canaccord Genuity Mornings Coffee on Cree (Nasdaq: CREE) and Extreme Networks (Nasdaq: EXTR): Looking to shed some more light on the situation.
John Kurtzweil resigned as CFO of Cree to join network equipment maker Extreme Networks, sending shares of Cree lower and Extreme higher. Kurtzweil is credited with helping Cree’s revenue from $400 million in 2007 to over $1 billion at present and will stay on with Cree until June 15 to help with the transition. Michael Devitt will take over as Cree’s CFO on an interim basis. CEO Chuck Swoboda thanked Kurtzweil for his time with Cree and was looked to reassure investors that the company remained on track. He said, “We are encouraged with our progress in growing the business through the fist half of the quarter. At this point, we remain on track with our targets.” Canaccord Genuity Sustainability Analyst Jonathan Dorsheimer believes Kurtzweil’s departure highlights a longer-term shift in the business model from chips to lighting fixtures. He will continue to dig into any potential additional reasons for the departure; however, he sees this announcement as a momentum killer and expects a reversal of shares in the near term. Absent any additional information, he remains bullish on Cree as he still expects the general lighting ramp into 2013 to create positive industry data points.
John Kurtzweil resigned as CFO of Cree to join network equipment maker Extreme Networks, sending shares of Cree lower and Extreme higher. Kurtzweil is credited with helping Cree’s revenue from $400 million in 2007 to over $1 billion at present and will stay on with Cree until June 15 to help with the transition. Michael Devitt will take over as Cree’s CFO on an interim basis. CEO Chuck Swoboda thanked Kurtzweil for his time with Cree and was looked to reassure investors that the company remained on track. He said, “We are encouraged with our progress in growing the business through the fist half of the quarter. At this point, we remain on track with our targets.” Canaccord Genuity Sustainability Analyst Jonathan Dorsheimer believes Kurtzweil’s departure highlights a longer-term shift in the business model from chips to lighting fixtures. He will continue to dig into any potential additional reasons for the departure; however, he sees this announcement as a momentum killer and expects a reversal of shares in the near term. Absent any additional information, he remains bullish on Cree as he still expects the general lighting ramp into 2013 to create positive industry data points.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Symrise AG (SY1:GR) (SYIEY) PT Raised to EUR103 at Stifel
- B.Riley Upgrades Extreme Networks (EXTR) to Buy
- GXO Logistics Inc. (GXO) PT Raised to $74 at Stifel
Create E-mail Alert Related Categories
Analyst Comments, Management ChangesSign 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!
