UPDATE: Jefferies Raises Target to $39 on Xilinx, Maintains Hold

Jefferies reiterates its Hold rating on Xilinx (NASDAQ: XLNX) and raises its price target by $7 to $39 a share as the company looks to raise expectations for the March quarter.

Jefferies comments, "XLNX follows LLTC as the second semiconductor company to raise expectations for the MarQ. It's early to say that it is a broad trend, but both are consistent with our thesis that supply chain inventories are lean and that the group is positioned for an inventory restock. We think that XLNX goes up, but prefer higher beta cyclical and product cycle plays like ONNN, TXN, AVGO, BRCM and MRVL."

XLNX closed at $35.50 per share on Wednesday.