Infineon: Liberum maintains 'buy' rating and target price
(CercleFinance.com) - Liberum said on Friday that it is maintaining a "buy" rating on the share of German chipmaker Infineon Technologies, with a target price of 28 euros, expecting demand to gradually improve.
Despite the group's cautious outlook for the near term, the British broker says that the semiconductor downcycle is "bottoming out," with a new upcycle expected to start in the second half of 2019.
"It is difficult to predict an inflection point for improvement in car demand in China, but we believe it is unrealistic for this market to continue to decline sharply for long," Liberum added.
According to the broker, Infineon remains well positioned to benefit from multiple areas of strong structural growth, including electric vehicles, automated driving and renewable energy.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
Despite the group's cautious outlook for the near term, the British broker says that the semiconductor downcycle is "bottoming out," with a new upcycle expected to start in the second half of 2019.
"It is difficult to predict an inflection point for improvement in car demand in China, but we believe it is unrealistic for this market to continue to decline sharply for long," Liberum added.
According to the broker, Infineon remains well positioned to benefit from multiple areas of strong structural growth, including electric vehicles, automated driving and renewable energy.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.