In a research report released on Tuesday, Brean Capital analyst Mike Burton reiterated a Buy rating on shares of Integrated Device Technology Inc (NASDAQ:IDTI), while raising the price target to $25 (from $23), on the back of better margin profile of the company and future strong product cycles the company will be participating in.

Burton wrote, “While the Samsung development is disappointing, we still have conviction in the IDTI story as the company is pushing through this rough patch and executing particularly well on the margin and cost side of its business model. This gives us more confidence that the company can reach its operating margin target of 30% by midyear CY17 despite the reduced revenue forecast. On the product side, we believe the company has some exciting opportunities in the wireless charging market as well as new areas of growth in Automotive (ZMDI) and in environmental sensing.”

As usual, we like to include the analyst’s trackrecord when reporting on new analyst notes. According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Mike Burton has a yearly average return of 10.1% and a 65% success rate. Burton has a 2.2% average return when recommending IDTI, and is ranked #133 out of 4178 analysts.

Out of the 10 analysts polled by TipRanks, 9 rate Integrated Device Technology stock a Buy, while 1 rates the stock a Sell. With a return potential of 10.6%, the stock’s consensus target price stands at $25.70.