Hapoalim Securities Maintains STR Holdings Buy, $26 PT (STRI)

Hapoalim Securities maintained its STR Holdings STRI Buy rating and $26 price target in a research report.

In the report, Hapoalim Securities states, "With revenues a bit light but margins holding firm, STRI reported a relatively in-line quarter with non-GAAP EPS of $0.39 coming in $0.02 ahead of the Street. More significantly, we believe STRI addressed concerns surrounding surging resin costs with (1) manufacturing efficiencies offsetting higher resin prices in 4Q10 and 1Q11E and (2) a new resin surcharge it is implementing in 2Q11 which passes this cost onto its customers. While we lower 1Q11 estimates on a push out of shipments, 2011 guidance suggests Street estimates are likely to come up a tad, and we expect the stock to react positively."

Shares of STR Holdings closed Thursday at $16.32, reflecting no change from Wednesday's market close.