Semtech price target raised to $74 from $70 at Needham

Needham raised the firm’s price target on Semtech (SMTC) to $74 from $70 and keeps a Buy rating on the shares. The company remains committed to its divestiture and portfolio optimization strategy, and a stronger balance sheet will meaningfully enhance its negotiating position, the analyst tells investors in a research note. With the completion of a $661M public offering transaction putting to rest any balance sheet concerns, Semtech management will now focus its attention on accelerating revenue growth, expanding margins and optimizing its product portfolio, the firm added.