Reuters Story - August 31, 1999 11:26
NEW YORK, Aug 31 (Reuters) - BancBoston Robertson Stephens analysts Daniel Niles and
Arnab Chanda on Tuesday raised the rating on Cadence Design Systems , which supplies
software and professional services used in the design of semiconductors and network
equipment, to a buy from a long-term attractive.
-- "In our view, we are entering a period of strong growth for the EDA (electronic design
automation) industry, driven by a transition to deep-sub-micron technologies," Niles and
Chanda, wrote in a research report.
-- The analysts also said they believe the semiconductor industry will experience a recovery
over the next few years, which should improve the prospects for design tool spending by
semiconductor companies.
-- The analysts said they believe the stock could reach $20 in 12 months.
-- "We could see upside in product revenues in the second half of 2000 and especially 2001,
given the strong fundamental drivers of the EDA industry," they wrote in a research report.
-- Shares of San Jose, Calif.-based Cadence Tuesday morning rose 1-1/2 to 13-5/8. |
