Cree Inc. (NASDAQ:CREE) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a report issued on Tuesday.
According to Zacks, “Cree, Inc. is a market-leading innovator and manufacturer of semiconductors that enhance the value of solid-state lighting, power and communications products by significantly increasing their energy performance and efficiency. Key to Cree’s market advantage is its world-class materials expertise in silicon carbide and gallium nitride for chips and packaged devices that can handle more power in a smaller space while producing less heat than other available technologies, materials and products. Cree drives its increased performance technology into multiple applications, including exciting alternatives in brighter and more-tunable light for general illumination, backlighting for more-vivid displays, optimized power management for high-current switch-mode power supplies and variable-speed motors, and more-effective wireless infrastructure for data and voice communications. Cree customers range from innovative lighting-fixtures makers to defense-related federal agencies. “
Several other research firms have also commented on CREE. Needham & Company LLC reaffirmed a “hold” rating on shares of Cree in a report on Sunday, July 17th. Canaccord Genuity reaffirmed a “hold” rating and issued a $22.00 price target (down from $24.00) on shares of Cree in a report on Wednesday, August 17th. Northland Securities lowered shares of Cree from an “outperform” rating to a “market perform” rating in a report on Wednesday, August 17th. Williams Capital started coverage on shares of Cree in a report on Friday, September 30th. They issued a “hold” rating and a $23.00 price target for the company. Finally, Roth Capital started coverage on shares of Cree in a report on Thursday, August 25th. They issued a “buy” rating and a $34.00 price target for the company. Two analysts have rated the stock with a sell rating, thirteen have issued a hold rating and four have issued a buy rating to the stock. The stock presently has a consensus rating of “Hold” and an average price target of $32.67.
Shares of Cree (NASDAQ:CREE) traded up 1.61% on Tuesday, reaching $25.20. 2,195,934 shares of the company’s stock were exchanged. The stock’s 50-day moving average price is $24.76 and its 200-day moving average price is $25.08. The company’s market capitalization is $2.54 billion. Cree has a 1-year low of $22.10 and a 1-year high of $32.92.
Cree (NASDAQ:CREE) last released its earnings results on Tuesday, October 18th. The LED producer reported $0.15 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.11 by $0.04. The company earned $321.30 million during the quarter, compared to the consensus estimate of $322.77 million. Cree had a negative net margin of 1.25% and a positive return on equity of 1.81%. The company’s revenue was down 15.8% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.21 EPS. Analysts anticipate that Cree will post $0.56 EPS for the current fiscal year.
In related news, Director John B. Replogle purchased 5,000 shares of the company’s stock in a transaction on Thursday, August 18th. The shares were bought at an average cost of $23.33 per share, for a total transaction of $116,650.00. Following the transaction, the director now owns 35,123 shares of the company’s stock, valued at $819,419.59. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 1.30% of the company’s stock.
Several hedge funds have recently added to or reduced their stakes in CREE. Prudential Financial Inc. increased its stake in Cree by 0.5% in the second quarter. Prudential Financial Inc. now owns 59,314 shares of the LED producer’s stock worth $1,450,000 after buying an additional 300 shares during the period. Cambridge Investment Research Advisors Inc. increased its stake in Cree by 3.5% in the second quarter. Cambridge Investment Research Advisors Inc. now owns 11,942 shares of the LED producer’s stock worth $292,000 after buying an additional 399 shares during the period. Advisory Services Network LLC increased its stake in Cree by 6.6% in the third quarter. Advisory Services Network LLC now owns 6,426 shares of the LED producer’s stock worth $165,000 after buying an additional 400 shares during the period. Wrapmanager Inc. increased its stake in Cree by 4.7% in the second quarter. Wrapmanager Inc. now owns 10,109 shares of the LED producer’s stock worth $247,000 after buying an additional 450 shares during the period. Finally, Eqis Capital Management Inc. increased its stake in Cree by 2.1% in the third quarter. Eqis Capital Management Inc. now owns 22,695 shares of the LED producer’s stock worth $584,000 after buying an additional 461 shares during the period. Institutional investors own 83.24% of the company’s stock.
Cree Company Profile
Cree, Inc is a manufacturer of lighting-class light emitting diode (LED) products, lighting products and semiconductor products for power and radio-frequency (RF) applications. The Company’s products are focused for applications, such as indoor and outdoor lighting, video displays, transportation, electronic signs and signals, power supplies, inverters and wireless systems.
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