Canaccord Pounds the Table on Qorvo Inc
Canaccord Genuity analyst Michael Walkley was out pounding the table on Qorvo Inc (NASDAQ:QRVO), reiterating a Buy rating and raising the price target to $85 (from $81), which represents a potential upside of 14% from where the stock is currently trading.
Walkley wrote, “Primarily due to our increased iPhone estimates, we are increasing our Qorvo estimates given Qorvo’s strong dollar content in the iPhone 6 products. We believe Qorvo has a broad RFIC portfolio for the mobile device market and is well positioned to benefit from strong secular RFIC TAM growth. Further, we believe the combination of TriQuint and RFMD position Qorvo with strong solutions for the LTE smartphone market along with an industry-leading non-handset related RFIC portfolio addressing the higher-margin defense & aerospace and networks infrastructure markets. We believe Qorvo can leverage significant cost synergies through consolidating fab facilities, optimizing R&D expenditures, and eliminating duplicate costs to drive improving margins throughout 2015 and 2016.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst T. Michael Walkley has a total average return of 24.9% and a 70.5% success rate. Walkley has a 5.6% average return when recommending QRVO, and is ranked #4 out of 3571 analysts.