UPDATE: JPMorgan Upgrades Cree (CREE) to Neutral

May 10, 2021 4:31 AM EDT
Get Alerts CREE Hot Sheet
Price: $91.30 +0.23%

Rating Summary:
    10 Buy, 22 Hold, 7 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 18 | Down: 11 | New: 8
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(Updated - May 10, 2021 4:55 AM EDT)

JPMorgan analyst Paul Coster upgraded Cree (NASDAQ: CREE) from Underweight to Neutral with a price target of $108.00.

The analyst comments "CREE is trading at nearly 13 times forward EV/Sales and at massive 2021E and 2022E P/E and EV/EBITDA multiples, but this is because the company is currently under-earning owing to investment in SiC capacity ahead of adoption. The stock looks close to fully-valued here, even for patient investors taking a longer-term view of the company’s earnings power and discounting back to the current day. That said, the recent pullback makes for a better risk-reward set-up, particularly if EV adoption accelerates relative to current expectations and we move to a Neutral stance, meaning that we expect CREE to perform in line with the mean of our coverage universe over the next 6-12 months."

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

Shares of Cree closed at $95.68 yesterday.


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