Amkor Technology (AMKR) has earned credit for its strong Q2 execution, with gross margin and earnings beating expectations, Morgan Stanley said in a report Tuesday.
"We are giving the company credit for strong execution," the note said, pointing among others to its gross margin running well ahead of schedule.
The report said the beat and raise on gross margin and EPS was driven by strength in Computing and Automotive/Industrial and broad-based utilization improvement.
The note said estimates also rose on stronger margin execution and an accelerated compute ramp, though the Arizona dilution math partially offset the magnitude of upward revisions.
Morgan Stanley edged up its price target to $70 from $69 while maintaining its equal-weight rating.
Price: $46.32, Change: $-14.40, Percent Change: -23.71%