Morgan Stanley Maintaines Overweight on Fairchild Semiconductor, $16.00 PT

In a report published Friday, Morgan Stanley analyst Craig Hettenbach maintained an Overweight rating on Fairchild Semiconductor Intl, Inc. FCS, with a $16.00 price target. According to the report, the analysts expect to see a steady improvement in revenue growth and margin expansion through the year, which should help reverse the decidedly bearish sentiment in the stock. “The volatility in FCS around earnings releases is frustrating and execution has been uneven, but we are staying the course on the stock,” the report noted. “Notably, Q1 should mark the low point of the year for sales and GM. And while GM guidance was disappointing, we believe the trajectory should improve materially in Q2 and beyond.” FCS closed Thursday at $12.70 with shares trading down at 3.35 percent.