Analysts Are Bullish on These Technology Stocks: SMTC, COUP

By Jason Carr

There’s a lot to be optimistic about in the Technology sector as 2 analysts just weighed in on Semtech (NASDAQ: SMTC) and Coupa Software Inc (NASDAQ: COUP) with bullish sentiments.

Semtech (NASDAQ: SMTC)

In a report released today, Rick Schafer from Oppenheimer upgraded Semtech (NASDAQ: SMTC) to Buy, with a price target of $36. The company’s shares closed yesterday at $28.10, close to its 52-week high of $28.80.

Schafer wrote:

“We are raising estimates and upgrading SMTC to Outperform after the company reported solid beat/raise results Wednesday. F3Q sales/EPS of $141M/$0.37 bested the Street’s $138M/$0.36, and guidance of $138M/$0.35 also beat consensus’ $134M/$0.33, despite a $4-5M Note 7 drag in F4Q (Jan). Following a couple of transition years, we believe SMTC’s legacy businesses (long-haul, Samsung Smartphone) has stabilized, allowing greenfield optical and LoRa opportunities to drive outsize revenue/earnings growth. At the same time, SMTC has lowered leverage below 2x, opening the door for strategic M&A.”

According to TipRanks.com, Schafer is a top 25 analyst with an average return of 15.5% and a 73.1% success rate. Schafer covers the Technology sector, focusing on stocks such as Adesto Technologies Corp, Advanced Micro Devices, and Applied Micro Circ.

Semtech has an analyst consensus of Moderate Buy, with a price target consensus of $32.

Coupa Software Inc (NASDAQ: COUP)

RBC Capital analyst Ross MacMillan reiterated a Buy rating on Coupa Software Inc (NASDAQ: COUP) today and set a price target of $35. The company’s shares closed yesterday at $31.74.

According to TipRanks.com, MacMillan is a top 100 analyst with an average return of 14.9% and a 79.7% success rate. MacMillan covers the Technology sector, focusing on stocks such as SS&C Technologies Holdings, Intralinks Holdings, and Turtle Beach Corp.

Coupa Software Inc has an analyst consensus of Moderate Buy, with a price target consensus of $29.20.