UPDATE: D.A. Davidson & Co. Reiterates On TriQuint Semiconductor On Significant Earnings Upside

In a report published Thursday, D.A. Davidson & Co. analyst Thomas Diffely reiterated a Buy rating on

, and raised the price target from $18.00 to $20.00. In the report, D.A. Davidson & Co. noted, “Based on growing confidence in TQNT's margin expansion story and its direct impact on the earnings potential of the combined company post the RFMD merger (currently estimated at $1.00 by the end of the second year), we are raising our price target to $20 (from $18). Our new target equates to a ~13x multiple of the combined company EPS (recall that TQNT shareholders receive 1.675 shares of the new combined company in exchange for every TQNT share).” TriQuint Semiconductor closed on Wednesday at $17.25.