Kaufman Initiates Coverage Of LED Space (CREE, VECO, AIXG)

Kaufman Bros. has initiated overage of the big 3 LED stocks this morning according to Barrons.

Cree Inc (CREE) was initiated at Hold with a $58 price target.  They see CREE as the leader and one that deserves a premium valuation, but the stock is a bit overdone to the upside.  CREE is  trading up about 1%, but remains relatively weak technically and looks like it wants to test the $50 level at some point.

===> Click Here For Your FREE Daily Cree Technical Analysis

Veeco Instruments (VECO) is initiated with a Buy rating and $56 price target.  The firm indicates the stock is trading at historically low valuations and that the LED industry is just at the beginning of a surge in demand for LEDs as the demand shifts more from backlighting applications to general lighting.  Shares of VECO are up nearly 3% today and have stabilized in recent weeks, finding support around the $30 level once again.

===> Click Here For Your FREE Daily Veeco Instruments Technical Analysis

Aixtron (AIXG) is also initiated at Buy with a $34 price target.  The firm notes that AIXG maintains a significant 60% share in the LED manufacturing tools space and makes the complete line of MOCVD equipment and supplies for all the major LED manufacturers.  AIXG is up about 4% in early trading and continues to hang in around key support in the $23 – $25 range. 

===> Click Here For Your FREE Daily Aixtron Technical Analysis

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