J.P. Morgan Maintains Underweight on DTS (DTSI)

J.P. Morgan is out with its report today on DTS (NASDAQ: DTSI), maintaining Underweight.

In a note to clients, J.P. Morgan writes, "DTSI reported 1Q11 EPS above expectations on in-line revenue. FY11 guidance was reiterated. As expected, Blu-Ray and Connected Devices are driving near-term growth, with an additional uptick in 1Q from the Auto segment. We are adjusting our estimates to reflect the 1Q beat but remain near the low-end of the guidance range. Our FY12 estimates are unchanged. We maintain our Underweight rating primarily on valuation. Price target $37.50."

Shares of DTSI closed Monday at $44.24, up 1.54% from Friday's close.