UPDATE: Deutsche Bank Raises PT on Cree on New Key Product; Revised Outlook
In a report published Tuesday, Deutsche Bank maintained its Hold rating on Cree (NASDAQ: CREE) and increases price target from $36 to $41.
Deutsche Bank reported that, “We think this is a very strong growth opportunity for CREE. In 2012, US consumers purchased over 4 billion lightbulbs (of which a majority were 40 or 60-watts). We believe this represents over a $14 billion revenue opportunity (assuming 50% price to the company from retail prices and 60% penetration) as the company expects to initially focus on the N. American market before expanding globally. We should expect to see higher revenue contribution in 2014; as of Jan 2014, the new phaseout of incandescent bulbs will apply to 60 and 40 watt bulbs as well."
Cree's shares closed at about $44.72 on Monday.
Latest Ratings for CREE
|Feb 2017||JMP Securities||Downgrades||Market Outperform||Market Perform|
|Dec 2016||JMP Securities||Initiates Coverage On||Market Outperform|
|Oct 2016||Stephens & Co.||Downgrades||Overweight||Equal-Weight|
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