Goldman Sachs Reiterates Sell Rating on Rubicon Technology Following 2Q13 Results Miss

In a report published Thursday, Goldman Sachs analyst Brian Lee reiterated a Sell rating and $6.00 price target on Rubicon Technology RBCN.

In the report, Goldman Sachs noted, “Rubicon missed 2Q13 expectations and guided to a largely flattish – and also disappointing – 3Q13 outlook. 2Q13 EPS of ($0.26) came in below our/consensus ($0.22)/($0.21) on in line revenue of $10.6mn. The miss was largely driven by lower-than-expected gross margin due to underutilization charges as well as pricing pressure in 6-inch wafers. For 3Q13, revenue is targeted to be flat qoq, with EPS targeted at ($0.20)-($0.24), well below GS and consensus expectations. We lower our 2013E/14E/15E EPS to ($0.68)/$0.00/$0.28 from ($0.57)/$0.03/$0.30 on lower margins and ASPs.”

Rubicon Technology closed on Wednesday at $9.18.