Market Overview

UPDATE: Piper Jaffray Initiates Emulex Corporation at Neutral on Near-Term Uncertainties

Related ELX
Emulex Provides 10Gb Ethernet Virtual Fabric Adapter 5 for New Lenovo Servers
Top 4 NYSE Stocks In The Technical & System Software Industry With The Highest Gross Margin

Piper Jaffray initiated coverage on Emulex Corporation (NYSE: ELX) with a Neutral rating and a $8.00 price target.

Piper Jaffray said, "Emulex' core market (Fibre Channel HBA) has been in a secular decline for the last few years, which has prompted management to search for new growth opportunities in the Ethernet market. While we are confident Emulex can succeed in the Ethernet market, the ongoing patent litigation, coupled with the pending closure of the Endace acquisition, is keeping us on the sidelines. If revenue and cost synergies from this acquisition start to play out sooner than expected, we would be inclined to re-evaluate our overall thesis on shares of ELX. As such, we are initiating with a Neutral rating and $8 price target.

Emulex Corporation closed at $7.41 on Tuesday.

Latest Ratings for ELX

Oct 2014DA DavidsonUpgradesUnderperformNeutral
Aug 2014BarclaysDowngradesEqual-weightUnderweight
May 2014Bank of AmericaDowngradesBuyUnderperform

View More Analyst Ratings for ELX
View the Latest Analyst Ratings

Posted-In: Piper JaffrayAnalyst Color Initiation Pre-Market Outlook Analyst Ratings


Related Articles (ELX)

Around the Web, We're Loving...

Get Benzinga's Newsletters