UPDATE: Piper Jaffray Initiates Mellanox Technologies at Overweight on Attractive Valuation

Piper Jaffray initiated coverage on Mellanox Technologies, Ltd.

with an Overweight rating and a $65.00 price target. Piper Jaffray commented, "We believe Mellanox will hold a competitive advantage via its FDR technology through 2014, which should result in solid revenue and earnings growth, despite tougher comparisons and limited visibility. With shares falling ~60% since the Q3 earnings call in October and estimates now reset following the Q4 pre-announcement, we believe Mellanox is in a better position to deliver a “beat and raise” quarter as early as Q1 (Mar). While we acknowledge the threat of Intel, we believe this concern is already reflected in the stock." Mellanox Technologies closed at $50.17 on Tuesday.