Ceva upgraded to Buy from Neutral at Roth MKM

Roth MKM upgraded Ceva to Buy from Neutral with a price target of $25, up from $20. The company reported revenue and earnings well ahead of consensus, reflecting royalty recovery and licensing traction with newer connectivity and edge artificial intelligence intellectual property portfolio offerings, the analyst tells investors in a research note. The firm expects Ceva’s second half of 2024 revenue to benefit from steady higher licensing and continued royalty recovery. The shift under new management back to an IP-centric product portfolio emphasizing connectivity assets and enabling of edge AI platforms bodes well for future growth opportunity, contends Roth.