RFMD cellular front ends 'will separate the firm from competition'
These are strong statements
Feb 01, 2010 RFMD has disproven the perception that competition in the mobile device market will increase, with the organisation experiencing a strengthening balance sheet. RF Micro Devices (MD) will be able to distance itself away from its competition because of the occurrence of complexity within the front end itself with the support of multiple bands, it has been reported.
The organisation manufactures cellular front ends including switches, power management, power amplifiers and transmit modules. One such product is the RF3267, a 1,920-1,980 megahertz power amplifier which enables up to 15 per cent less peak current consumption and delivers a low-power mode leading to longer battery life.
Merriman Curhan Ford has announced that RFMD has gone against the perception that the mobile device market will experience increased competition and will slow as a whole, StreetInsider.com reported.
An analyst from the organisation stated: "With further upside in gross and operating margins, an improving balance sheet, strong free cash flow and a modest multiple of eight times financial year 2011 earnings per share, we believe the shares have upside to the $7-8 (£4.4-£5) range."
RFMD recently announced a focus on gallium nitride products for the upcoming March quarter after the company saw a strong performance in the third quarter of its 2010 financial year.