Northland Securities analyst Tom Sepenzis came out with a favorable report on Himax Technologies, Inc. (ADR) (NASDAQ:HIMX) after looking at the company’s business trends which appear to be improving across the board in all segments. The analyst reiterated an Outperform rating on the stock, and boosted the price target to $11 (from $9). Shares of HIMX closed yesterday at $8.60, up $0.48, or 5.91%.
Sepenzis commented, “We believe Himax is experiencing better than expected results in its large panel business driven by new customer wins and increased content gains given the growth in ultra-high definition televisions. This should lead to better ASP’s and potentially stronger margins in the near to intermediate term.”
Further, “As Himax’ small/medium display driver customers rebound in the second half of the year, it is likely that they will see a quick rebound in the CMOS image sensor business as well. Image sensors dropped nearly 30% sequentially by our estimates in Q115, but we believe they will grow for the remainder of the year, and could accelerate in Q315.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Tom Sepenzis has a total average return of 22.0% and a 61.0% success rate. Sepenzis has a -16.2% average return when recommending HIMX, and is ranked #328 out of 3629 analysts.
Out of the 9 analysts polled by TipRanks, 4 rate HIMX stock a Buy, 4 rate the stock a Hold, and 1 recommends a Sell rating. With a downside potential of 8.95%, the stock’s consensus target price stands at $7.83.