NEC Upgraded Again, Credit Suisse Boosts Target Share Price (NIPNY)

| About: NEC CORP (NIPNF)
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Yahoo! Japan Finance News carried a piece today saying that NEC Corp (NIPNY) was upgraded by Credit Suisse Japan in a research report dated April 7th. Credit Suisse increased NEC's rating from "neutral" to "out-perform" and raised its target share price from 800 yen to 1,150 yen. This follows Goldman Sachs' (NYSE:GS) upgrade of NEC last Friday as well, from "in-line" to "out-perform."

The Credit Suisse analyst cited an increasing possibility that NEC may be able to stop the deterioration of its cellular phone business segment. Over the past few days there has been news of NEC increasing investment in its Chinese cell phone subsidiary and a three-way collaboration on 3G cell phone technology with Matsushita (NYSE:MC) and Texas Instruments (NYSE:TXN).

NEC's ordinary shares closed higher by 2.69% at 916 yen in Monday trading. NEC's ADRs are up 3.23% at $7.67 in morning trading at the time of this post. Credit Suisse's target price increase to 1,150 yen equates to US$9.75 when converted at a rate of 118 yen/US$1. There may be even more upside for U.S. investors if the Fed were to not raise rates going forward as the BoJ begins to raise rates and thus the yen would seemingly strengthen versus the dollar.

NEC 1-yr chart: