RF Micro Devices (RFMD) PT Lifted at Ascendiant Capital

Ascendiant Capital analyst Cody Acree reiterated a Buy rating and raised his price target on RF Micro Devices (NASDAQ: RFMD) to $13.00 (from $10.00) on strong Q4 results.

Analyst Cody Acree comments, "Following strong numbers from the other RF players, we weren’t particularly surprised to see similar revenue trajectory from RFMD. However, the company did surprise us with much better than expected gross & operating margins, which are forecast to continue to expand as it works though as many as 75 differing initiatives to improve cost."

He added, "As the company looks to be hitting a significant stride with its market share improving among the marquee smartphone vendors, solid leverage in China from 2G to 4G, and margin expansion effort delivering greater than expected results, we reiterate our Buy rating and are increasing our price target from $10 to $13, or 13.7x our new FY16 EPS estimate of $0.95."

For an analyst ratings summary and ratings history on RF Micro Devices click here. For more ratings news on RF Micro Devices click here.

Shares of RF Micro Devices closed at $8.09 yesterday.

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