Maxim Group Reiterates Sell Rating, $23 PT on Veeco Instruments

In a report published Friday, Maxim Group reiterated its Sell rating and $23.00 price target on Veeco Instruments VECO. Maxim Group noted, “Once again distinguishing itself from AIXG, VECO delivered better-than-expected results characterized by still-high margins and positive FCF, even as revenue and gross margin dipped Q/Q and MOCVD orders held flat at $70m. While this may ultimately hearten the bulls and help attract flows out of AIXG's stock, we expect the bull case to be undermined by (1) a prolonged drought that drags on a few quarters and (2) a shorter and shallower peak cycle than in 2010-2011; we maintain our Sell rating.” Veeco Instruments closed on Thursday at $33.74.