In a report published Wednesday, Evercore Group analyst Michael Lucarelli reiterated an Overweight rating and $15.00 price target on Applied Micro Circuits (NASDAQ: AMCC).
In the report, Evercore Group noted, “We view the announcement that APM and NVDA are combining forces with X-Gene + Tesla to target the High Performance Computing (HPC) market as an incremental positive and a proof point that X-Gene is not just a microserver CPU. We see the HPC market as a TAM expander that is additive to the list of original target markets (OEM, Cloud, Networking). This increases our confidence of mgmt meeting its goal of meaningful X-Gene revenues in F2H15.
"We reiterate our thesis that X-Gene, with its differentiated features in (1) brawny cores, (2) integrated I/O, and (3) superior memory bandwidth, is very well positioned to take advantage of its window of opportunity over the next 12-18mo as the only custom silicon in the market.”
Applied Micro Circuits closed on Tuesday at $11.02.
See more from Benzinga
- Ascendiant Capital Markets Feels More Positive About Applied Micro Circuits
- Evercore Group Feels More Confident In Applied Micro Circuits
- FBR Capital Markets Sees Healthy Core Business For Applied Micro Circuits
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.