Needham Says Buy Entegris Shares, Sets $25 Price Target

Specialty chemical and materials supplier Entegris Inc(NASDAQ: ENTG) on Monday was upgraded from Hold to Buy at Needham. The firm set a $25 price target on the company, citing increased confidence of growth and margin expansion in the coming quarters.

“With improved semi demand, new leading-edge fab capacities going into production, and several company-specific programs starting to ramp up, we believe ENTG will continue to outperform the long-term target growth rate of 4-5%,” Needham analysts said.

Needham believes Entegris will close the valuation gap relative towards its peers due to improving fundamental, as the stock currently offers the best opportunity to participate in the growth that the Fab materials space is currently experiencing. The firm also sees next week’s Analyst event as a near-term catalyst for the stock.

The stock has been having an excellent 2017, with shares up over 23 percent year-to-date.