Keysight Technologies initiated with a Buy at Citi

Citi analyst Atif Malik initiated coverage of Keysight Technologies with a Buy rating and $200 price target. The analyst initiated coverage of the communication equipment sector, saying equipment orders have stabilized after a sharp 30% quarter-over-quarter drop in the March quarter. Longer-term, big data continues to drive the need for higher network capacity with 100G for enterprises, 400G for Cloud, and 800G and beyond for artificial intelligence, the analyst tells investors in a research note. The firm cites Keysight’s “attractive valuation and superior pricing power” for the Buy rating.