Update: II-VI Beats Q3 Earnings And Improves Margins But Growth Is Missing
Martin Vlcek • Thu, Oct. 30
- IIVI beat sales and EPS estimates as margins started improving following the acquisition integration period. Revenues were still down 1% Q/Q and EPS was flat.
- The stock performance should improve as most of the acquisition integration costs are behind and the company will focus more on growth and realization of synergies from the acquisitions.
- I confirm my long thesis and keep my target price at $18, offering a ~38% upside within two years. However, downside needs to be protected.