Raymond James Optimistic On Power Integrations Despite Soft Quarter

In a report published Thursday, Raymond James analyst J. Steven Smigie raised the price target on Power Integrations (NASDAQ: POWI) from $55.00 to $59.00 and maintained its Outperform rating.

Despite a soft first quarter, Smigie remarked, “the rapid charge business is ramping faster than we anticipated, some of the weakness may be transitory, LED and Concept business look strong still, and the company increased their dividend again after only two quarters. Given the opportunity, we still think PI is an interesting investment.”

The analyst further commented on Power Integrations increased its share repurchase program. The company's Board of Directors approved an additional $50 million in repurchases in addition the initial $50 million.

Raymond James maintained CY14 revenue and EPS+Options estimates of $366 million and $1.98, respectively. The analyst reiterated his 2015 estimates of $413 million and $2.39, respectively.

Shares of Power Integrations closed at $53.61 on Thursday.