UPDATE: Bank of America Initiates Coverage on Vishay Intertechnology with Buy Rating, $19 PT on Multiple Positive Factors

In a report published Friday, Bank of America analyst Ruplu Bhattacharya initiated coverage on

with a Buy rating and $19.00 price target. In the report, Bank of America noted, “We initiate coverage of Vishay Intertechnology Inc. (VSH), a global manufacturer of passive and discrete semiconductor components, with a Buy rating and $19 PO. Our positive view is based on 1) relatively low inventory at distributors and VSH having yet to see the full benefit of restocking; 2) industry demand metrics indicate semiconductor sales and units are strengthening; 3) the automotive market (20% sales) remains strong; 4) positive book-to-bill, backlog and ASP trends; and 5) a consistent track record of 45%+ contributive (variable) margin and strong cash flows.” Vishay Intertechnology closed on Thursday at $14.90.