Infineon: Credit Suisse double upgrades stock

(CercleFinance.com) - Credit Suisse has upgraded its rating on Infineon shares directly to "outperform" (from "underperform"), having increased its corresponding target price to 42.
5 euros (from 31 euros), after the broker increased its estimates for the German semiconductor manufacturer.

The broker believes that the company can exceed its medium-term targets for sales (9% growth) and margins (19% operating margin), and sees signs that Infineon is "seeing increased traction in SiC technology".

As a result, Credit Suisse has increased its sales and EPS assumptions for 2021-23 by 1-4% and 2-7% respectively, now expecting EPS of 1.16/1.42/1.70 euro over these three years, which is respectively 6%/10%/16% above the consensus.

The market definitely agrees - the share is up over 4% on Monday afternoon in Frankfurt.



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