Tessera Technologies Lowered to Underperform at Zacks (TSRA)
Tessera Technologies (NASDAQ:TSRA) was downgraded by Zacks from a “neutral” rating to an “underperform” rating in a research report issued to clients and investors on Wednesday, Stock Ratings Network reports. They currently have a $17.00 target price on the stock. Zacks‘ price target suggests a potential downside of 11.64% from the company’s current price.
Zacks‘ analyst wrote, “Tessera is a provider of back-end technology for semiconductor manufacturing. The company’s fourth quarter earnings were in line with the Zacks Consensus Estimate but guidance was not too encouraging. Management is refocusing the business on the higher-margin, higher-risk licensing model, so the host of patents, new technologies and customer wins are encouraging. The product portfolio has also been revamped to target the mobile segment, which should help growth. The major negative is the excessive legal charges, which are necessary to protect its IP. This is a special concern given Tessera s small size with respect to defaulters that are usually big technology companies such as Micron. Therefore, despite the fact that its prospects appear to be improving, we note that a good deal of the optimism is regarding uncertain “episodic” revenue. We therefore have an Underperform recommendation on TSRA shares.”
Shares of Tessera Technologies (NASDAQ:TSRA) traded down 0.94% on Wednesday, hitting $19.06. The stock had a trading volume of 68,440 shares. Tessera Technologies has a 52 week low of $16.81 and a 52 week high of $22.59. The stock’s 50-day moving average is $19.20 and its 200-day moving average is $19.22. The company’s market cap is $1.027 billion.
Tessera Technologies (NASDAQ:TSRA) last issued its quarterly earnings data on Tuesday, February 4th. The company reported $0.14 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.08 by $0.06. The company had revenue of $56.40 million for the quarter, compared to the consensus estimate of $56.00 million. During the same quarter last year, the company posted ($0.24) earnings per share. Tessera Technologies’s revenue was up 18.5% compared to the same quarter last year. On average, analysts predict that Tessera Technologies will post $0.46 earnings per share for the current fiscal year.
The company also recently declared a quarterly dividend, which is scheduled for Wednesday, March 26th. Stockholders of record on Wednesday, March 5th will be given a dividend of $0.10 per share. This represents a $0.40 dividend on an annualized basis and a yield of 2.08%. The ex-dividend date of this dividend is Monday, March 3rd.
In other Tessera Technologies news, Insider John Thode sold 3,045 shares of the stock in a transaction dated Tuesday, February 11th. The stock was sold at an average price of $18.94, for a total value of $57,672.30. Following the completion of the sale, the insider now directly owns 86,955 shares in the company, valued at approximately $1,646,928. The sale was disclosed in a filing with the SEC, which is available at this link.
Tessera Technologies, Inc is a holding company. The Company operates through its subsidiaries in two segments: Intellectual Property and DigitalOptics.
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