You can fill a lot of pages with what is right about Linear Technology (NASDAQ: LLTC )
. Not only is Linear among the leaders in the analog chip space, but it
has a long history of excellent profitability. In fact, profitability
is so important to the company that it let go of Apple's business when the margins no longer met management's standards.
Looking ahead, there's real growth potential for Linear in the
industrial and auto markets in the coming years. Linear isn't the only
company prioritizing these markets, as ON Semiconductor Analog Devices, and Texas Instruments are
there too, but the potential of grabbing a larger share of auto OEM
content and leveraging the Dust acquisition in factory automation is
compelling. Alas, the price is not so compelling and investors need to
really be sure that Linear is going to continue topping estimates for
the stock to work at this price level.
Please follow this link for more:
Linear Technology: Love the Story, But Not the Price
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