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TI Upgraded by Citi on Handset Performance, Valuation |
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| May 29, 2008 08:10 PM UTC |
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5/19 - Citi's Glen Yeung is upgrading Texas Instruments (TXN) to Buy from Hold, reversing an earlier downgrade. Yeung has also boosted TXN's target price to $39 from $31. FQ208 and FY08 estimates go to $0.46 and $1.99 from $0.45 and $1.56 respectively. Yeung is upbeat about TXN's performance in handsets: 'Our field checks suggest that rolling forecasts from TI's largest handset customer point to a significant increase in chip orders in 2H08 versus 1H08, driven by new product launch and depleted inventories...Meanwhile, our checks also indicate that TI is holding onto Nokia share better than anticipated. We note that 1) share loss at low-end has been pushed out, 2) EDGE share loss has also been delayed, 3) TI has opportunity to win analog at Nokia.' "Finally, Yeung sees a big opportunity for upside given TXN's historically low valuation..." 
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