Analysts’ Opinions Are Mixed on These Consumer Goods Stocks: NeoPhotonics (NYSE: NPTN), Mellanox (NASDAQ: MLNX) and LKQ Corp (NASDAQ: LKQ)

By Jason Carr

Analysts have been eager to weigh in on the Consumer Goods sector with new ratings on NeoPhotonics (NYSE: NPTN), Mellanox (NASDAQ: MLNX) and LKQ Corp (NASDAQ: LKQ).

NeoPhotonics (NYSE: NPTN)

In a report released yesterday, Jun Zhang from Rosenblatt Securities assigned a Buy rating to NeoPhotonics (NYSE: NPTN), with a price target of $13. The company’s shares closed yesterday at $6.96.

Zhang observed:

“We believe NPTN’s business is positioned to rebound in 2018 with ICR share increasing significantly at Chinese vendors. China revenues could be up between 5-15% YoY.”

According to TipRanks.com, Zhang is ranked 0 out of 5 stars with an average return of -9.6% and a 33.3% success rate. Zhang covers the Consumer Goods sector, focusing on stocks such as Himax Technologies, Lumentum Holdings, and Viavi Solutions.

NeoPhotonics has an analyst consensus of Moderate Buy, with a price target consensus of $8.25.

Mellanox (NASDAQ: MLNX)

Rosenblatt Securities analyst Hans Mosesmann assigned a Hold rating to Mellanox (NASDAQ: MLNX) on December 8. The company’s shares closed yesterday at $62.05, close to its 52-week high of $63.20.

Mosesmann commented:

“We are surprised at the flat to slight- ly up Infiniband sales growth guide for 2018 after its double digit downward cor- rection in 2017. Our research indicates Infiniband is the better mouse trap vs. Intel’s OmniPath generally and in particular as we look to 2018 and the move to 200Gb/s speeds where OmniPath’s roadmap is muddled.”

According to TipRanks.com, Mosesmann is a 4-star analyst with an average return of 9.7% and a 54.7% success rate. Mosesmann covers the Consumer Goods sector, focusing on stocks such as Advanced Micro Devices, Texas Instruments, and Western Digital.

Currently, the analyst consensus on Mellanox is Moderate Buy and the average price target is $56, representing a -9.8% downside.

In a report issued on November 28, Barclays also upgraded the stock to Hold with a $55 price target.
LKQ Corp (NASDAQ: LKQ)

Raymond James analyst Sam Darkatsh assigned a Buy rating to LKQ Corp (NASDAQ: LKQ) yesterday. The company’s shares closed yesterday at $40.34, close to its 52-week high of $41.25.

According to TipRanks.com, Darkatsh is a 4-star analyst with an average return of 10.6% and a 71.6% success rate. Darkatsh covers the Services sector, focusing on stocks such as Foundation Building Materials Inc, Houston Wire & Cable Company, and Beacon Roofing Supply.

Currently, the analyst consensus on LKQ Corp is Strong Buy and the average price target is $42.25, representing a 4.7% upside.

In a report released today, B.Riley FBR also reiterated a Buy rating on the stock with a $41 price target.

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