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Investing.com - Bernstein SocGen Group has raised its price target on NXP Semiconductors NV (NASDAQ:NXPI), a $56 billion semiconductor company, to $220.00 from $200.00 while maintaining a Market Perform rating on the stock. According to InvestingPro data, the company’s current valuation shows it trading near its Fair Value, with analyst targets ranging from $210 to $289.
The price target increase follows what Bernstein described as a "fine" earnings report from the semiconductor company, with management expressing increasing confidence that cyclical trends in the industry may be turning positive.
Bernstein noted that potential channel replenishment in the second half of the year could provide some near-term upside to NXP’s financial numbers, though the firm cautioned that upside solely from channel fill is "unlikely to be hugely rewarded," especially amid continued tariff uncertainty.
The research firm maintained its 16x multiple on the stock, applying it to the average of fiscal year 2026/2027 earnings per share estimates, resulting in the new $220 price target.
Bernstein expressed some concern about NXP’s exposure to the automotive sector as tariffs begin to take effect, noting that this end market "may be at ground zero" for tariff impacts, and suggested there are "likely other (better) ways" to play the cyclical semiconductor rebound.
In other recent news, NXP Semiconductors reported second-quarter revenue of $2.93 billion, marking a 3.2% sequential increase and slightly outperforming Stifel’s estimates. The company’s non-GAAP earnings per share were $2.72, exceeding both Stifel’s and Street estimates. Following these results, several analyst firms have adjusted their price targets for NXP Semiconductors. Cantor Fitzgerald raised its price target to $280, maintaining an Overweight rating, while Needham increased its target to $250, continuing a Buy rating. UBS also reiterated its Buy rating with a price target of $276, although they noted expectations for stronger guidance. Meanwhile, Raymond (NSE:RYMD) James reiterated an Outperform rating with a $250 price target, citing NXP’s geographic diversity as a competitive advantage. Stifel maintained a Hold rating with a $210 price target, reflecting the company’s in-line quarterly performance. These developments highlight NXP Semiconductors’ solid financial performance and the positive outlook from multiple investment firms.
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