Sterne Agee Maintains Underperform, $9 Target on Rubicon Technology
Sterne Agee reiterates its Underperform rating and $9 target price on Rubicon Technology (NYSE: RBCN) as it cuts estimates on the company's negative pre-announcement.
Sterne Agee says, "Yesterday after the close, Rubicon lowered its December quarter revenue guidance to $19-$20 million (versus previous guidance of $20-$23 million and consensus of $22 million). We are lowering our estimates to reflect the shortfall and sticking with our Underperform rating given our view that Rubicon's six inch revenue will likely remain under pressure through the first half of the year (In the September quarter, six inch revenue accounted for roughly 2/3 of total revenue). Also, given the estimate cut, we believe losses are now a viable concern."
RBCN closed at $12.58 a share yesterday.
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