UPDATE: Citigroup Reiterates Buy Rating, Raises PT for KLA-Tencor

In a company update released earlier today, Citigroup Inc. reiterated its Buy rating for KLA-Tencor Corporation (NASDAQ: KLAC) and slightly raised its price target from $65.00 to $66.00.

Citigroup said it reiterated its Buy rating “to reflect its exposure to the foundry/logic driven capex spending in 2012, notable share gain in memory, and potential margin expansion from the recently-launched high-end inspection systems (2900 bright-field). We view the right customer mix and further share/margin expansion to drive KLAC's rev/EPS above last peak level in CY12. Despite outperforming in 2011, we see more upside given its rev/EPS power that is still not fully built into the stock.”

KLA-Tencor Corporation closed yesterday at $55.11.