UPDATE: Piper Jaffray Raises PT on Applied Materials to $17

Piper Jaffray has published a research report on Applied Materials AMAT and has raised the price target from $15 to $17 after the company reported January 2012 revenues that exceeded all estimates and guidance. In the report, Piper Jaffray writes, "AMAT's Jan'12 revenue of $2.19b and non-GAAP EPS of $0.18 exceeded their guidance of $1.85bn to $2.07bn as well as beating all estimates. Non GAAP EPS of $0.18 was a beat by $0.06 with a non- GAAP gross margin increase of 120 bps q/q. Silicon systems grew 26% q/q on the heels of strong order inflow from Samsung, we believe, which was ramping for Apple (A5 chip). Overall orders were up 26% q/q to $2.01bn with silicon system orders rising 53% q/q from strong foundry orders. Given a full quarter post closure, AMAT highlighted Varian's revenue contribution to be $202m and $0.13 in Non GAAP EPS. During the quarter, AMAT repurchased $200m worth of stock and we believe this is likely to continue with $1bn still left in its buyback." Piper Jaffray maintains its Overweight rating on Applied Materials, which is currently trading down $0.15 from yesterday's $13.21 closing price.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm
Posted In: Analyst ColorPrice TargetAnalyst RatingsPiper Jaffray
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!