Jefferies Has Buy on PMC-Sierra
Jefferies & Co. is out with a research report on PMC-Sierra, Inc. (NASDAQ: PMCS) and it has a Buy rating and a $9.50 price target on shares.
In a note to clients, Jefferies & Co. writes, "Intel (INTC, $23.40, Hold) reported its Data Center business set an all time record for Storage revenues in Q3, and noted demand forecasted for its next-generation Romley Server (already shipping for revenues, launch expected in early 2012) was ~20X higher than that for its Nehalem platform prior to launch. Our checks indicate the rapid Cloud buildout and the introduction of large new Cloud players such as Google (GOOG: $590.51, Buy), Amazon (AMZN: $243.88, Buy) and Facebook are driving higher demand for Romley, which serves as a positive catalyst for PMC's storage business."
Shares of PMCS gained 14 cents yesterday to close at $6.60.
