UPDATE: Sterne Agee Initiates Semtech at Buy on Consistent Revenue Growth

In a report published on Monday, Sterne Agee analyst Andrew Huang initiated coverage on Semtech SMTC with a Buy rating and a price target of $46.00.

In the report, Sterne Agee noted, "With well diversified end market and product exposure, Semtech is able to deliver consistent revenue growth, and even better EPS growth as margins improve through the integration of acquisitions and execution of revenue and cost synergies. Since 2007, Mohan Maheswaran's first full year as CEO, Semtech shares have outperformed the S&P 500 every year on an annual basis and outperformed the SOX every year except for 2009 (SMTC up only 51% versus the SOX up 70%). We believe investors should Buy the stock in anticipation of record revenue and EPS over the next two years."

Semtech closed on Friday at $35.78.