Emcore upgraded to Outperform at Northland on potential cable optics sale

As previously reported, Northland analyst Tim Savageaux upgraded Emcore to Outperform from Market Perform with a price target of $2.50, up from $2, following the company’s "mixed" fiscal Q1 report. Emcore noted it has been in talks with several interested parties for its cable optics unit and also noted some signs of an improved inventory situation amid strong cable network investment at Charter (CHTR) and others, the firm tells investors. Northland believes proceeds from a cable optics sale, expected within the next quarter, along with funding from working capital and outstanding credit lines, is likely sufficient to take the company to breakeven EBITDA and longer term it sees the potential for value creation on the A&D side.