UPDATE: Stifel Nicolaus Reiterates Buy Rating, Raises PT on Finisar Corporation Following Investor Meetings

In a report published Friday, Stifel Nicolaus analyst Patrick Newton reiterated a Buy rating on Finisar Corporation FNSR, and raised the price target from $20.00 to $22.00. In the report, Stifel Nicolaus noted, “On July 11th we hosted investor meetings with Finisar's CEO, Eitan Gertel, and came away comfortable with near-term dynamics (solid datacom trends) and our long-term thesis on the stock (IP leadership, eventual rebound in telecom, and operating leverage). Meetings point to full-year guidance as being achievable/conservative with more potential upside catalysts (general telecom rebound, Chinese spending, etc.) than downside risks (datacom slowing, lack of telecom rebound) with the opportunity for Finisar to drive meaningful leverage on improving revenue trends (telecom focus) given underutilization of fixed assets in telecom and ramping new products.” Finisar Corporation closed on Thursday at $17.98.