PWAV To Enjoy Operating Leverage As Demand Rises

Analysts at Jefferies & Co upgrade Powerwave Tech (NASDAQ: PWAV) from "hold" to "buy." The target price for PWAV has been raised from $1.5 to $3.

PWAV has reported its Q1 results short of expectations. According to Jefferies & Co, “PWAV will likely see good demand in 2010 as wireless operators increase capacity. In the downturn, Powerwave lowered its cost structure and will likely see operating leverage as demand returns.” The recent refinancing has also improved NT liquidity. “… we are more positive as we expect wireless infrastructure spending to accelerate,” the analysts add. More Analyst Ratings here