- Declaring there's limited upside to its $50 target, Jefferies has cut Mellanox (NASDAQ:MLNX) to Hold ahead of tomorrow's Q4 report. The Nasdaq is off 1.7%.
- Summit Research forecast in-line results and guidance yesterday. Like others, it thinks Intel's Grantley Xeon server CPU launch boosted demand from Mellanox's HPC clients (50%-60% of revenue). Grantley and strong demand from Internet giants helped Intel report a 25% Y/Y increase in Q4 server CPU division sales.