UPDATE: Oppenheimer Upgrades Linear Technology to Outperform, Establishes $36 PT
Oppenheimer raises its rating on Linear Technology (NASDAQ: LLTC) to Outperform from Perform and established a price target of $36 per share as the company is expected to benefit disproportionately from demand inflection.
Oppenheimer comments, "Typical of past corrections, in July, LLTC was one of the first to identify and react to the looming 2H11 slowdown. Order patterns have since stabilized, as the channel continues working inventories ever leaner—a classic over-correction. Similar to TXN's mid-quarter, we look for a soft 2Q (Dec) print in January, but anticipate a broad inventory re-stock in 1H12 will breathe fresh life into shares. We expect LLTC to benefit disproportionately from any demand inflection as better utilization rates drive GM higher, compounding top-line gains."
LLTC closed at $28.69 per share on Thursday.
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.