NVE Corporation (NVEC)

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NVE Corp. Shares Jump on Upgrade
Associated Press
January 24, 2008



Shares of sensor maker NVE Corp. soared nearly 40 percent Thursday after Broadpoint Capital Inc. upgraded the shares to "Buy" from "Neutral" on NVE's strong fiscal third-quarter earnings.

On Wednesday night, the company reported profit of 36 cents per share on revenue of $4.7 million. Analysts polled by Thomson Financial had expected earnings per share of 30 cents.

Broadpoint analyst Avinash Kant said the company had cleared up near-term inventory difficulties in products used by medical device customers.

The company's earnings were well above market expectations because of its favorable product mix that boosted margins, Kant said.

He saw strong growth potential and raised his fiscal 2008 earnings per share estimate for the company to $1.41 from $1.30 and his 2008 revenue estimate to $19.7 million from $19.2 million.

NVE products are used by aerospace, automotive and currency verification customers who need sensors to scan material at high speed.

Its shares rose $67.30 or 37.6 percent to $27.84 in afternoon trading. Shares have traded in the last 52 weeks between $19.50 and $41.95.