UPDATE: Wunderlich Securities Raises Target to $8 on Exar Corporation

Wunderlich Securities increases its price target $1.50 to $8 on Hold-rated Exar Corporation

on restructuring plans that should help the company save ~21 million annually. Wunderlich Securities says, "Exar Corporation (

) announced additional restructuring plans that, along with previous initiatives, should help save ~$21 million on an annualized basis. New CEO Lou DiNardo had been expected to make significant changes and this is the culmination of these efforts, which should have a substantial impact on the operating model. The company also reiterated its March quarter revenue guidance and indicated that bookings have improved. We view the announcement positively and are maintaining our revenue estimates and increasing our nonGAAP EPS estimates due to the dramatic leverage from the cost savings." EXAR closed at $8.16 a share on Wednesday.