Analysts Offer Insights on Consumer Goods Companies: Marvell (NASDAQ: MRVL), Hewlett Packard Enterprise (NYSE: HPE) and Emcore Corp (NASDAQ: EMKR)

By Ryan Adsit

Analysts have been eager to weigh in on the Consumer Goods sector with new ratings on Marvell (MRVLResearch Report), Hewlett Packard Enterprise (HPEResearch Report) and Emcore Corp (EMKRResearch Report).

Marvell (MRVL)

MKM Partners analyst Ruben Roy maintained a Buy rating on Marvell yesterday and set a price target of $25. The company’s shares closed yesterday at $16.09, close to its 52-week low of $14.69.

Roy wrote:

“We remain positive on MRVL shares, which, we believe, trade at an attractive valuation, with continued solid management execution and ongoing design wins in growth markets. Q3 results were slightly ahead of expectations with gross margins, again, exceeding management guidance. We continue to view the risk-to-reward profile for MRVL shares favorably with the stock trading at 11.7x our new calendar 2019 EPS estimate of $1.40 versus a peer group average multiple of 16x. With our lower estimate, though, we are lowering our 12-month price target to $25, down from $27. Our new price target implies an 18x multiple on our calendar 2019 EPS estimate.”

According to TipRanks.com, Roy is a 4-star analyst with an average return of 5.6% and a 54.1% success rate. Roy covers the Consumer Goods sector, focusing on stocks such as Silicon Laboratories, Skyworks Solutions, and Cypress Semicon.

Currently, the analyst consensus on Marvell is a Strong Buy with an average price target of $25.07, which is a 55.8% upside from current levels. In a report issued on November 30, Barclays also maintained a Buy rating on the stock with a $23 price target.

.

See today’s analyst top recommended stocks >>

Hewlett Packard Enterprise (HPE)

In a report released yesterday, Rob Cihra from Guggenheim maintained a Hold rating on Hewlett Packard Enterprise. The company’s shares closed yesterday at $16.02.

Cihra observed:

“We continue to see HPE’s realignments and growing focus on areas like Edge and high-performance computing (HPC) fitting well with its engineering- and support-driven economics, but still see the strategy taking time to move the needle, and so remain NEUTRAL.”

According to TipRanks.com, Cihra is a 3-star analyst with an average return of 3.1% and a 50.8% success rate. Cihra covers the Consumer Goods sector, focusing on stocks such as Western Digital, Seagate Tech, and Corning Inc.

Currently, the analyst consensus on Hewlett Packard Enterprise is a Moderate Buy with an average price target of $18, implying a 12.4% upside from current levels. In a report released yesterday, Maxim Group also maintained a Hold rating on the stock with a $17 price target.

.

Emcore Corp (EMKR)

B.Riley FBR analyst Dave Kang maintained a Hold rating on Emcore Corp yesterday and set a price target of $5.75. The company’s shares closed yesterday at $4.81.

Kang commented:

“EMCORE Corp. (EMKR) reported F4Q revenue/EPS at the high end of the company’s previously revised outlook from early October, driven by new product strength in the cable television (CATV) segment and the ramp in Navigation. F1Q revenue guidance was $23.0M-$25.0M, above our/consensus estimates of $21.1M/$20.9M as the company is seeing large incremental orders for L-EML products and a resumption in orders for legacy products following a multi-quarter inventory burn. The non-CATV segment (Chips/Navigation/Satcom) represented 29% of total revenue and is expected to trend higher in FY19 as new products ramp in Chips and Navigation. GM improved Q/Q, but remains depressed due to mix as newer products are contending with lower initial yields.”

According to TipRanks.com, Kang is a 5-star analyst with an average return of 16.6% and a 58.6% success rate. Kang covers the Consumer Goods sector, focusing on stocks such as Applied Optoelectronics, Acacia Communications, and Lumentum Holdings.

The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Emcore Corp with a $6 average price target.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.