Coherent price target raised to $120 from $84 at Needham

Needham raised the firm’s price target on Coherent to $120 from $84 and keeps a Buy rating on the shares. The firm sees the stock continuing to run higher over the next year on multiple drivers which include strength of the company’s AI transceiver business, along with an improving outlook for the OLED/semi-cap business and balance sheet de-levering from lower rates and proceeds from possible divestitures as new CEO Jim Anderson and newly united CFO Sherri Luther begin executing on the plan, the analyst tells investors in a research note.