UPDATE: Axiom Capital Maintains Amtech Systems at Sell Following Negative Pre-Announcement
Axiom Capital reiterated its Sell rating and $2.30 price target on Amtech Systems (NASDAQ: ASYS) following FQ$ negative pre announcement on November 29.
Axiom Capital commented, "[W]e believe the pre-announced revenue suggests that ASYS's revenue from its solar business dropped to less than $1mn in F4Q12 from $15.2mn in F3Q12; looking at earnings reports thus far from the Chinese solar vendors who have reported, we note that there has been no new capacity expansion announced (a first in our coverage of the solar space); consequently, we see a bleak outlook for ASYS as the oversupply plaguing the industry is likely to be exacerbated by shrinking demand; we are lowering our rev/EPS estimates for FY'12 & FY'13; SELL."
Amtech Systems closed at $3.22 on Friday.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.