RF Micro Devices, Inc. (RFMD)

[eastunder]

RF Micro Spikes As Barclays Ups Rating To Overweight

http://www.forbes.com/sites/ericsavitz/2012/12/13/rf-micro-spikes-as-barclays-ups-rating-to-overweight/?partner=yahootix

RF Micro Devices shares are trading higher Thursday after Barclays analyst Blayne Curtis upped his rating on the chip maker’s shares to Overweight from Equal Weight, with a new price target of $6, up from $5. The stock closed Wednesday at $4.44.

Curtis writes in a research note that he remains tempered on the outlook for RF semiconductor growth, but that he nonetheless sees upside for RF Micro from both new products and market share gains.

More specifically, he lists five potential growth drivers for the company in 2013 and 2014:

•He thinks the company will capture the majority of the $400 million to $500 million market for antenna tuners in 2014.

•He sees opportunity for the company to win the antenna switch module or power amplifier slots in the Apple iPhone 5S.

•He contends the company should gain share on Qualcomm and Broadcom based smartphones.

•Curtis sees potential growth in low-end 3G smartphones.

•And he sees a potential to be a second-source for WiFi chips on Broadcom based devices.

For the March 2013 fiscal year, he now sees profits of 14 cents a share, up from 13 cents; for FY 2014 he goes to 35 cents, from 31 cents.

RFMD this morning is up 35 cents, or 7.8%, to $4.75