Cohu price target raised to $40 from $34 at Needham

Needham analyst N. Quinn Bolton raised the firm’s price target on Cohu to $40 from $34 and keeps a Buy rating on the shares after its Q4 earnings beat. According to its management, Cohu will see softer first half of the year due to ongoing inventory corrections in consumer, PC, and server markets, the analyst tells investors in a research note. The company is a unique automotive play within Needham’s SemiCap equipment coverage universe and a clear beneficiary of the secular growth of autonomous driving and electric vehicles, the firm added however.