UPDATE: Citi Upgrades Linear Technology on Solid Industrial Exposure, Limited Smartphone Exposure

In a report published Friday, Citi Investment Research analyst Terence Whalen analyzed specialty semiconductors and noted solid industrial exposure and limited smartphone exposure driving growth in 2014 for

. Whalen upgraded Linear Technology from Neutral to Buy and raised the price target from $43.00 to $53.00. Linear Technology reported December quarter revenue of $334.6 million and GM of 75.3%. EPS of $0.44 was in-line with Citi's prior estimate of $0.44. Linear Technology's management noted that booking were the strongest in December, continuing into January. Management expects booking growth to fall in February and rebound in March. Citi Research commented that heavy industrial stocks with limited smartphone exposure should see healthy demand in 1H14. Whalen remarked on six positive factors including, “1) Inventory was roughly flat; 2) Auto continued to grow modestly; 3) Comms bookings improved due to strength in Asia; 4) GM were flat qq; 5) Book-to-bill was slightly positive in the Dec-Q and should improve in the Mar-Q as industrial and auto both grow; and 6) Dividend increased $0.01 to $0.27/share.” Shares of Linear Technology closed at $44.66 on Thursday.