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Hardware & electrical equipment

Semiconductor-maker Macom Technology's shares pop after analyst upgrade

Analysts Richard Shannon raised his price target for the stock to $25 from $17, nearly double its Tuesday close

Macom Technology Solutions Holdings Inc (Nasdaq:MTSI) stock roared Wednesday after a Craig-Hallum analyst upgraded the semiconductor maker to Buy from Hold.

Richard Shannon raised his price target for the stock to $25 from $17, according to TheFly.com, nearly double its Tuesday close of $12.60.

The stock jumped nearly 24% to $15.62.

Shannon wrote that the stock has high upside potential after falling 80% over the past two years. In the last quarter, the Lowell, Massachusetts-based company announced a 5G joint venture with Chinese electronics company Goertek Inc and expanded its work with Swiss-based STMicroelectronics NV (NYSE:STM).

The upgrade comes on the heels of mixed fiscal second-quarter results. The company swung to an adjusted loss of $0.18 per share on revenue of $128.5 million late Tuesday.

Analysts had called for a loss of $0.11 per share on revenue of $125.1 million.

Macom manufactures radio, microwave and millimeterwave semiconductor devices in the US and internationally.

Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com

Follow him on Twitter @andrew_kessel

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