Entegris upgraded to Buy from Neutral at Seaport Research

Seaport Research analyst Michael Harrison upgraded Entegris to Buy from Neutral with a $150 price target. The firm has “long suspected” that the semiconductor markets could take longer to recover and that Entegris could see margin pressure related to new capacity start-up costs, though with the recent pullback in shares – down 21% from a 52-week high on July 12 – expectations have moderated sufficiently to justify an upgrade, the analyst tells investors in a research note. The company also expects to outgrow underlying markets by 4% in 2024 and 3%-6% over time as it benefits from increasing material use per chip and leverages its strong market positions and end-to-end solutions to gain share, the firm added.