MEMC Electronics (WFR) was punished yesterday after missing Wall Stestimates and appears to be on its way to test all time lows around$10, but the stock may get some relief buying today following twoupgrades from Gabelli and Credit Suisse.
Credit Suisse upgraded WFR from Neutral to Outperform and raised the price target from $17 to $19 (nearly a double from today’s prices).
According to Notable Calls,Credit Suisse sees semi prices increasing as supply tightens while WFRincreases market share. They see 60% semi wafer shipment growth thisyear. The firm believes that the company focused too much on the solarpoly biz, resulting in poor performance across the company as a whole. Management is moving the company back to its core strength in semis. Despite concerns about the Sun Edison acquisition and missed analystestimates, Credit Suisse sees much brighter days ahead. Be sure tocheck out the full analysis from Notable Calls, it’s a good one.
Gabelli has also upgraded the stock from Hold to Buy.
Shares are up about 4% in premarket trading.